With a Joint Mortgage - what are my options to buy a second property?

Stewieyan

Hello,

New here, appreciate an advice.

Got a joint mortgage with another person. Now I want to buy another (second) property for myself. 
Can I use any equity I have in the current joint mortgage for this purpose, e.g. to top up the deposit for the new property? 
How to do this if yes and what's the terminology here.

Any help much appreciated, thank you.

TrickyDicky101

Unless the other person also wishes to withdraw funds (through an increase in the joint mortgage with you - and thus meaning you would need to split the extraction 50:50 with them) then you cannot use the equity in your current property.

You have presumably factored in you will be paying the additional 3% SDLT on your subsequent other purchase too?

K_S

Stewieyan said:

Hello,

New here, appreciate an advice.

Got a joint mortgage with another person. Now I want to buy another (second) property for myself. 
Can I use any equity I have in the current joint mortgage for this purpose, e.g. to top up the deposit for the new property? 
How to do this if yes and what's the terminology here.

Any help much appreciated, thank you.

@stewieyan The two joint borrowers will need to either apply for additional-borrowing/further-advance with your current lender or do a capital raise remortgage with a new lender to raise the funds for the deposit. 

The joint borrower will need to agree to using this cash for a deposit for the onward purchase, and the lender needs to allow capital raising for this purpose.

Stewieyan

Thank you!