Mortgage age gap plus on maternity

Holiholi

Hi
I’m looking to get a mortgage but seem to come up against obstacles - appreciate any advice. 

I’m 40 and my partner is 63. 

I own a house that’s currently rented out and plan to keep it longterm. (My mortgage company has given me permission to rent so wouldn’t require to change to buy to let according to them). 

My partner owns a house that we’d like to sell to put towards a deposit - worth around 50% of the houses we’re looking to buy.  I also have some savings (16%) and would need to take out a morgage for the remainder (34%)
Can I get a mortgage on my own without having to name my partner on it? The banks I’ve approached have said I’d have to name him as he’s contributing to the deposit (though I earn enough to get a decision in principle and would also be paying it). This means we can only get a 11 year term and I can’t afford these payments but could afford a 20/25 year term which would take be to 65. 

I am on maternity leave until August but have saved an adequate amount to cover living costs and a potential mortgage repayment while earning statutory pay and nil pay in the interim. 

Is it possible to sort a reasonable 25 year mortgage with all these factors? 

Thanks

K_S

@Holiholi

- yes, with the right lender you may be able to get a mortgage with him contributing to the deposit but being a non-borrower occupier

- your house in the background will depress your affordbility as it's on a CTL and (presumably) on a capital repayment mortgage. This may or may not impact the borrowing that you need for the new house, but it depends on the numbers.

- the mat leave is an additional factor to be taken into account but shouldn't be a deal breaker as long as you intend to return to work full time, employer can confirm that and childcare arrangements/costs are plausible and affordable.

- Impossible to say with certainity about whether you can get a 25 year mortgage or not, but assuming the affordability numbers stack up (especially in relation to the background property), I don't see anything obvious in your post which will stop you from getting a 25 year mortgage in your sole name.

Holiholi

Thanks for your response - very helpful. 

My rented property has a mortgage of £58k left to pay over 21 years. . I bought it for £135k and a £115k mortgage. It is now estimated to be worth £180k. The minimum repayment is £288 a month and I get £750 rent. 

I’d be going back to work full time after maternity and going halves with my partner on childcare (who’ll work full time until the children start school). 

I’m confident that I could comfortably cover the costs - are there any lenders you’d recommend looking at? Or should I go to a broker to find me a deal do you think? 

Thanks

[Deleted User]

another idea is to do it in joint names but with him as non earning borrower.  This would potentially still allow a 25 year term but keep the property in joint ownership

speak to a broker to get all your options

K_S

Holiholi said:

Thanks for your response - very helpful. 

My rented property has a mortgage of £58k left to pay over 21 years. . I bought it for £135k and a £115k mortgage. It is now estimated to be worth £180k. The minimum repayment is £288 a month and I get £750 rent. 

I’d be going back to work full time after maternity and going halves with my partner on childcare (who’ll work full time until the children start school). 

I’m confident that I could comfortably cover the costs - are there any lenders you’d recommend looking at? Or should I go to a broker to find me a deal do you think? 

Thanks

@holiholi Unfortunately, there simply isn't anywhere close to enough information to recommend a lender/product. There are plenty of permutations and combinations that could work, depending on the specifics of your circumstances. I would definitely recommend getting in touch with a broker to see what options are available.

Holiholi

Thanks for getting back to me. Sounds more promising than I thought. I’ll try a broker to see whether they can help find something suitable for us. Cheers! 👌🏽