Split from partner and looking to remortgage in my own name

thegoodestboi

My partner and I have recently split amicably. We are both named owners of a property and now live apart. I still live in the property and I intend to do so by remortgaging in my name alone.

£10k deposit was paid entirely by me as well as stamp duty etc. I have paid an overwhelming majority toward the mortgage payments as well since September 2017.

I have had the property valued by multiple estate agencies at £185k. We purchased it for £176k two years ago.

My current mortgage has £162k left and my current lender has qualified me to be able to make payments alone.

My problem is what happens next? I want both of us to benefit financially from this situation. Is there anyway to do this where I don't have to increase my loan to payout their share of the property?

Would it be better if we signed an agreement where they agree to not take their share of the property value and I send them goodwill payments over a period of time?

Looking for advice on this as it's starting to get foggy on my options.

[Deleted User]

How much are they due by your calculations?

If you have paid the deposit and covered costs and paid the majority of the mortgage, what are you going to offer and what is he expecting?

thegoodestboi

I'm still trying to work out what their share would be after fees have been paid. I want it to be fair for both of our circumstances.

We are cooperative on finding a solution so there is no expectation other than finding that sweet spot. I'm trying to gather options for us.

I don't mind offering half of the equity value over a period of time so long as my remortgage doesn't put me back at square one.

I'm sorry if I'm not quite up to scratch with this. It's all still early on.

Let_Us_See

After providing £10k deposit, stamp duty, legal fees etc., plus bulk of mortgage payment, I humbly suggest the payment amount is diddly squat!

thegoodestboi

I appreciate that approach. Legally I believe that is the best option and any good will contributions I can send as and when out with this process.

How possible is it to declare that no amount of the property is payable to my ex?

[Deleted User]

thegoodestboi wrote: »

I appreciate that approach. Legally I believe that is the best option and any good will contributions I can send as and when out with this process.

How possible is it to declare that no amount of the property is payable to my ex?

You go up to him and say 'no money is payable to you'

Sorted


Otherwise, when doing the legal work on the removal of his name the conveyancer will ask if there are any surplus funds due and if so where they want to be sent

foxy-stoat

I would just say to the ex that it hasn't increased by much in the 2 years, as you put in all the deposit then there is nothing owed to him. He just needs to sign the transfer of equity form.

He may be happy to be free of the mortgage liability.

thegoodestboi

Is the transfer of equity form something I arrange with a solicitor or through my mortgage lender?

Will this still affect my mortgage value in the long run or will it be as if I were remortgaging as normal, as if nothing has changed?

Thank you all for helping.

foxy-stoat

Call up your lender and start the ball rolling. The form will come from them, well my did.

How do you mean mortgage value. The property will be worth the same, the amount you owe will be the same, unless you need to pull money out to pay the ex, however you are on 88% LTV, based on estate agents valuations. You may need to ask the lender how much they think it is worth and challenge the value if it is less as your LTV may be too high to pull money out if needed.