Advice on coming off of one mortgage onto another

Ellen_135

Hi, I was wondering if anyone could advise on the order in which to do the following, and if it sounds realistic & doable;

I currently have a joint mortgage with a family member- interest only, approx £130k with 3 years left. Property value approx £300k

The family member has a salary of around £45k, is due to retire in 3 years but would continue to work f/t hours for the foreseeable future beyond this. There is a plan in place to pay off the majority of the sum with a pension lump sum (with a couple of other pensions leftover for actual pension) and continued overpayments. I was only ever added to the mortgage as, at the time their salary alone wasn't quite enough (it has increased since then). So a remortgage alone would be need for around £60k. So the plan is for me to come off of this mortgage if/when possible.

My partner and I would like to see if we're eligible to buy together-
- joint salary of £50k- £55k (me £25k- £30k, him £25k)
- deposit and fees savings of £50k (mine £40k, his £8k including help to buy ISA).

The tricky issues are that I'm self employed & we're in South London so properties are £250k- £300k +. So I'm not 100% convinced we'll be offered a large enough mortgage, nor if my family member will be eligible for a mortgage alone, so close to the theoretical retirment age. Obviously continuing to save, or renting will be our Plan B.

Can anyone advise on whether my partner and I are able to try for a Mortgage In Principle whilst I'm still on the other mortgage? Or would the current morgage be the first one to try?

Any help would be greatly appreciated. Thanks!

foxy-stoat

Doubt he will be able to get another interest only mortgage now and as he is close to retirement age will unlikely get a mortgage on his own.

You may have to wait for 3 years and settle the first mortgage in full before thinking about taking out another one.

Ellen_135

Thanks, we had all suspected that might be the case.

Do you think it would be worth going to the lender to find out? They have no intention of retiring at the legal age and will continue to work (it's an office job). It would obviously need to be a repayment this time rather than interest only, I realise IO is rare and unavailable these days.

Also, either way, do mine and my partner's figures look remotely achievable?

Thanks again