Going on House Deeds but not on Mortgage?

cotswolds_jude

Daughter is buying a house with boyfriend. She cannot get a mortgage and he does not have savings for a deposit. We-the parents - plan to gift a third of house price(deposit & shortfall of mortgage).. But.. As daughter is not on Mortgage solicitor says she cannot be on deeds/ownership of house. This is of great concern to us. Are there any legal solutions anyone can suggest? Otherwise it is just a matter of trust. Thanks for any advice. 

Thrugelmir

What factors are stopping your daughter from being party to a joint mortgage application? 

davidmcn

She can be a joint borrower (and therefore owner) even if she doesn't have significant income to go towards it, can't she? In the same way as the "traditional" couple where one is the breadwinner and the other stays at home.

AdrianC

Lenders usually insist all owners are borrowers, and only owners are borrowers. So, no, if she isn't going to be an owner, she can't be a borrower and vice versa. There may be specialist mortgages, but of course that means a narrower market and usually higher rates.

If she's planning on buying a house with her partner, then trust within the relationship is pretty much a prerequisite...
And if you don't trust her, why are you giving her such a substantial amount of money...? Remember, to use the word "gift", it has to genuinely have zero expectation of never being repaid. Even if they don't buy the house and she splooges it all on kittens and handbags. Otherwise, it's a loan. 

xylophone

But.. As daughter is not on Mortgage solicitor says she cannot be on deeds/ownership of house. 

Joint proprietor/sole borrower?

This comes up from time to time and HSBC is usually mentioned as being amenable to this arrangement.

https://www.overclockers.co.uk/forums/threads/mortgage-question-re-joint-ownership.18730948/page-2

https://forums.moneysavingexpert.com/discussion/5991265/sole-mortgage-but-joint-ownership

greatcrested

Surely with a joint mortgage, provided as a pair they meet the lending criteria they can both apply?

Sure - she may not be eligible for a mortgage on her own but that's not relevat here.

Speak to an independant mortgage broker whowill look at their combined incomes.

Unless, of course, she has a negative record eg bankruptcy etc.....

[Deleted User]

xylophone said:

But.. As daughter is not on Mortgage solicitor says she cannot be on deeds/ownership of house. 

Joint proprietor/sole borrower?

This comes up from time to time and HSBC is usually mentioned as being amenable to this arrangement.

https://www.overclockers.co.uk/forums/threads/mortgage-question-re-joint-ownership.18730948/page-2

https://forums.moneysavingexpert.com/discussion/5991265/sole-mortgage-but-joint-ownership

They stopped doing it just after covid.  They are only really interested in vanilla stuff now

There is apparently 1 small buildiung society who will consider but i've never tried it.  Most of the time it makes more sense just to do a joint mortgage with the deposit protected by way of 2nd charge