Can my girlfriend take out mortgage in her name but have me on the deeds aswell?

IloveElephants

2bFrank said:

No, anyone who is on the deeds, will also have to be on the mortgage. You will also have to sign (as well as anyone living in the property over the age of 17) a declaration, that you hold no interest in the property and will move out if the property is repossessed.

Your first question, does your partner have the deposit for a home on her own or is it joint the 50k. If its on her own, then happy days, if not you will be required to gift your share to your partner.

The next question, is, can your partner get a mortgage on their own and afford it. If so, then there isn't a problem in that respect, she can get the mortgage and will be able to purchase the property, you are able to live in the property with her but it wont be your property.

If you split up, then by all means she will have the property. You might (but unlikely due to the declaration you signed) be able to claim a share off her through the courts, but this will be only for the amount you have contributed + share of value increase based of this (remember the deposit was a gift, you do not have a claim in that). You wont have a stake in the property though, your partner will be able to sell it without your permission etc, your claim will be with her, not the property.

Thanks for the info Frank,

Do you guys know anything about Tenant's in common (unequal shares in the property) ? 
Would this work in our situation? 

IloveElephants

TBagpuss said:

You won't be able to go onto the deeds until you can get a joint mortgage but you would be able to enter into a cohabitation agreement, recording that you have a beneficial interest in the property - you would both need to get proper advice but it is doable. It would mean that as between  you and your partner, you were recognized as having an interest in the property / proceeds of sale, and would let you define what tat interest was, based on how the deposit if being funded and how you plan to pay the mortgage etc. 

Thanks for the info TBagpuss,

K_S

@iloveelephants Afaik, the only mainstream lenders who will consider this (one person on mortgage, two on deeds) are FirstDirect and HSBC Direct (not through a broker). Please see thread here for more info https://forums.moneysavingexpert.com/discussion/6267136/first-direct-one-person-on-mortgage-two-on-deeds-worth-it-or-hassle/p1

MovingForwards

A good broker who makes you feel comfortable, confident they are working with you, listens to what you say and takes into account all your circumstances. I wouldn't feel comfortable paying one just to fact find, with adverse history nor one who says they will contact all the lenders. A broker knows lender criteria, knows where things can get balanced to make up for a negative and therefore knows which lenders would be open to an application in your circumstances.
They also spend a while getting to find out what's happened, why it's happened and explain what they are doing to find the right lender and numerous other things.

Talking is one thing, anyone can do that, producing the goods is another. 

Previously I had popped into an adverse brokers for a chat so I knew what to aim for over a couple of years. They were so judgemental about my circumstances, made me feel like I would never get a mortgage, shouldn't dare have any savings when in debt and even when debt free I would be living in some distant land in costing about a then years wages. Clearly didn't listen to anything I was saying and I walked out feeling the lowest of low.
- my savings were also doubling up as my emergency fund in case I lost my job. I was clearing debts as I was going along, instalments and snowballing, as I didn't want them outstanding when applying for a mortgage. I had no choice due to the amount I owed and the savings only amounted to 4 months salary at the time. Had it been less than £1k I owed I would have cleared it as I could replenish that.
Contrast that with me saying exactly the same to the broker I did actually use, leaving me with a glimmer of hope after speaking with hime. I thenn tallied everything to when I thought I would be in a position to buy. It's no secret I got my broker from this site, I'm not the only one who did. I spent ages going through all his posts, got a feel for his style and the rest is history as I'm sitting in my mortgaged home.

It really helps if you keep all the information in posts so people can see the full story. You've had one broker provide some information, but that may not be suitable because of your credit history; I've not looked into the criteria. CCJs from parking tickets are a pain and having a few outstanding isn't going in your favour at the moment, especially with them being recent.

Take a moment to stop, think, breathe and weigh up everything.

Perhaps you should write one further post, detail everything even down to dates of the CCJs and confirming what you are doing about them, your deposit, whether plan A, plan B or plan C would work in reality and what other options may be available. Then you will really know what your options are.

lonibra

K_S said:

@iloveelephants Afaik, the only mainstream lenders who will consider this (one person on mortgage, two on deeds) are FirstDirect and HSBC Direct (not through a broker). Please see thread here for more info https://forums.moneysavingexpert.com/discussion/6267136/first-direct-one-person-on-mortgage-two-on-deeds-worth-it-or-hassle/p1

That is interesting. I think this comes up often. Do you know why this is such an issue and why HSBC won't allow through MBs?

user1977

lonibra said:

K_S said:

@iloveelephants Afaik, the only mainstream lenders who will consider this (one person on mortgage, two on deeds) are FirstDirect and HSBC Direct (not through a broker). Please see thread here for more info https://forums.moneysavingexpert.com/discussion/6267136/first-direct-one-person-on-mortgage-two-on-deeds-worth-it-or-hassle/p1

That is interesting. I think this comes up often. Do you know why this is such an issue and why HSBC won't allow through MBs?

It's an issue largely because it involves somebody putting their property at risk of repossession, but not getting the benefit of the loan - so there's the risk of the non-borrower kicking up a fuss about not having had proper advice at the time, or claiming they signed under duress etc. I guess banks may be more comfortable if they are certain that all the proper procedures have been done in-house, rather than rely on a broker having signed it off.

IloveElephants

MovingForwards said:

A good broker who makes you feel comfortable, confident they are working with you, listens to what you say and takes into account all your circumstances. I wouldn't feel comfortable paying one just to fact find, with adverse history nor one who says they will contact all the lenders. A broker knows lender criteria, knows where things can get balanced to make up for a negative and therefore knows which lenders would be open to an application in your circumstances.
They also spend a while getting to find out what's happened, why it's happened and explain what they are doing to find the right lender and numerous other things.

Talking is one thing, anyone can do that, producing the goods is another. 

Previously I had popped into an adverse brokers for a chat so I knew what to aim for over a couple of years. They were so judgemental about my circumstances, made me feel like I would never get a mortgage, shouldn't dare have any savings when in debt and even when debt free I would be living in some distant land in costing about a then years wages. Clearly didn't listen to anything I was saying and I walked out feeling the lowest of low.
- my savings were also doubling up as my emergency fund in case I lost my job. I was clearing debts as I was going along, instalments and snowballing, as I didn't want them outstanding when applying for a mortgage. I had no choice due to the amount I owed and the savings only amounted to 4 months salary at the time. Had it been less than £1k I owed I would have cleared it as I could replenish that.
Contrast that with me saying exactly the same to the broker I did actually use, leaving me with a glimmer of hope after speaking with hime. I thenn tallied everything to when I thought I would be in a position to buy. It's no secret I got my broker from this site, I'm not the only one who did. I spent ages going through all his posts, got a feel for his style and the rest is history as I'm sitting in my mortgaged home.

It really helps if you keep all the information in posts so people can see the full story. You've had one broker provide some information, but that may not be suitable because of your credit history; I've not looked into the criteria. CCJs from parking tickets are a pain and having a few outstanding isn't going in your favour at the moment, especially with them being recent.

Take a moment to stop, think, breathe and weigh up everything.

Perhaps you should write one further post, detail everything even down to dates of the CCJs and confirming what you are doing about them, your deposit, whether plan A, plan B or plan C would work in reality and what other options may be available. Then you will really know what your options are.

Thank you everyone, I appreciate all your input, I will come back to this thread in a few days and read your comments in more detail when I have time, I am going away for the bank holiday and will switch off for a few days. Thanks 

IloveElephants

MovingForwards said:

A good broker who makes you feel comfortable, confident they are working with you, listens to what you say and takes into account all your circumstances. I wouldn't feel comfortable paying one just to fact find, with adverse history nor one who says they will contact all the lenders. A broker knows lender criteria, knows where things can get balanced to make up for a negative and therefore knows which lenders would be open to an application in your circumstances.
They also spend a while getting to find out what's happened, why it's happened and explain what they are doing to find the right lender and numerous other things.

Talking is one thing, anyone can do that, producing the goods is another. 

Previously I had popped into an adverse brokers for a chat so I knew what to aim for over a couple of years. They were so judgemental about my circumstances, made me feel like I would never get a mortgage, shouldn't dare have any savings when in debt and even when debt free I would be living in some distant land in costing about a then years wages. Clearly didn't listen to anything I was saying and I walked out feeling the lowest of low.
- my savings were also doubling up as my emergency fund in case I lost my job. I was clearing debts as I was going along, instalments and snowballing, as I didn't want them outstanding when applying for a mortgage. I had no choice due to the amount I owed and the savings only amounted to 4 months salary at the time. Had it been less than £1k I owed I would have cleared it as I could replenish that.
Contrast that with me saying exactly the same to the broker I did actually use, leaving me with a glimmer of hope after speaking with hime. I thenn tallied everything to when I thought I would be in a position to buy. It's no secret I got my broker from this site, I'm not the only one who did. I spent ages going through all his posts, got a feel for his style and the rest is history as I'm sitting in my mortgaged home.

It really helps if you keep all the information in posts so people can see the full story. You've had one broker provide some information, but that may not be suitable because of your credit history; I've not looked into the criteria. CCJs from parking tickets are a pain and having a few outstanding isn't going in your favour at the moment, especially with them being recent.

Take a moment to stop, think, breathe and weigh up everything.

Perhaps you should write one further post, detail everything even down to dates of the CCJs and confirming what you are doing about them, your deposit, whether plan A, plan B or plan C would work in reality and what other options may be available. Then you will really know what your options are.

Thanks movingforwards, shall I write that post on this threat or create a new thread where I am and what my goals are?

IloveElephants

MovingForwards said:

I know sub-prime lender rates have gone up a bit since my mortgage started, however the stance I took was I don't care what the rate is, I'm getting my own home and can remortgage to a different lender when my credit history is better.
I took a 5 year fix, made overpayments since my first pay after getting the keys and have been saving the ERCs / remortgage costs too.
Sometimes short-term pain is worth long-term gain.

Please speak with a good broker and see what your options are.

Just wanted to ask how much more did you pay on your mortgage going with the broker v high street lender? What is your interest rate and what was it at the beginning?

MovingForwards

My rate is over 5.5% I took a 5 year fix and am 13 months into it. I can't compare it to a high street bank rate as that wasn't an option for me. 

What I did was work out how much the ERCs would be at years 1 - 5 if I remortgaged over those points, looked at how much the fee is for paying the mortgage in full and assumed the legal fees would be what I paid when originally buying. I save some money each month towards these costs in readiness for remortgaging at whatever point I decide.

My purchase went through / I got the keys at the start of the month, payday at the end of the month and I made a small overpayment.  The following month I made a slightly bigger one, the month after I decided to pay £50 extra, after a few more months I was paying a bit more to make up for the first few months.

Had a small payrise, got my first annual statement, went back to checking numbers on a mortgage overpayment calculator and doubled the overpayments. A couple of months later I increased it by another £100 each month, last month I increased it again. I'm having another small payrise this year, that money will go into the mortgage. 

For me the APR is just a number and the lender is irrelevant, I wanted my own home.  My aim was always to clear it in 10 years regardless of it being a sub-prime or high street lender. In 8 years 11 months I will be mortgage free.

1. Look at your rent costs and bills, how much extra would that be if you waited?
2. How much would the mortgage and bills be if you did go down the sub-prime route?
- you then also have the property and are underway to clearing the mortgage

Is there much monetary difference in 2 minus 1? 

There's no right or wrong way of doing things, just make sure you consider all available options and not just rule things out based on the now, take into account the potential future.