Buying Out Ex

Lisa820

Hi all,

I am soon to be a financial position to buy out my ex-husband from the house we shared. Assuming I am able to get a mortgage for the amount I need, is there anyone who can explain the process to me? When I look online, I can see First Time Buyer or Move House & Remortgage, I'm not sure either of those apply. We're currently with Nationwide, so can I speak to them to release half the equity and add that onto the mortgage with me as the sole owner? Or if I end up moving mortgage providers, what exactly am I applying for as it will still be going from two owners to one? Also, do solicitors need to be involved? Do I need to go through conveyancing again? It is an amicable split, I don't mean do I need solicitors from a divorce point of view, just the deeds/conveyancing stuff.

Thanks in advance.

Irishpearce26

You would re-mortgage in your name only and then pay him off with the money. The house would be valued and then an amount would be set as to how much he owns of the property (50:50 or 40:60). Your share of the house will be the equity minus what is left on the mortgage.

I think that is how it works out. I think you would be best getting a broker involved who can work it all out for you and look to get you the best rate for your circumstances. 

dimbo61

I think you need to speak to a broker.
Happy to see that it's an amicable split however a number of things need to be considered.
Your Income and your EX,s income ?
Savings, Stocks and Shares, Premium bonds ? Cars, any other valuables in the household.
Pensions ?????
Age, children and retirement plans !
I doubt that everything is going to be 50/50 with the equity in the home if your EX has a much bigger pension/s

Please try and keep things friendly but if your EX was the main breadwinner and will get a much larger pension this should be taken into account.
You should use a broker to find the best deal for your circumstances

pinkshoes

A good starting point would be contacting your current lender about their rates to re-mortgage in just your name. 

Make sure you are earning enough to cover the current mortgage and borrowing an additional amount to cover what you need to pay to your ex e.g. if the house is worth £200k and the mortgage is £150k, then you will need to make sure the lender will give you £175k in your name alone (so £25k can go to your ex).

Lisa820

dimbo61 said:

I think you need to speak to a broker.
Happy to see that it's an amicable split however a number of things need to be considered.
Your Income and your EX,s income ?
Savings, Stocks and Shares, Premium bonds ? Cars, any other valuables in the household.
Pensions ?????
Age, children and retirement plans !
I doubt that everything is going to be 50/50 with the equity in the home if your EX has a much bigger pension/s

Please try and keep things friendly but if your EX was the main breadwinner and will get a much larger pension this should be taken into account.
You should use a broker to find the best deal for your circumstances

It definitely sounds like I need to speak to a broker from the comments here. Regarding to rest, we've spoken to solicitors and as we're both solvent and can and do provide a home with each of us for our daughter, we can divorce and keep our own assets. I don't want his savings, he doesn't want my pension for example. We will be splitting the house exactly 50/50. I didn't think a mortgage provider would care about that detail?

Lisa820

Thanks everyone for the comments. It sounds like the current lender and/or a mortgage broker is the way to go. I appreciate the comments regarding solicitors as well, something to factor into the overall costs.