Will I be able to keep my mortgage?

Huxley71

Alongside a whole host of others, I'm bricking it a bit at the  current hike in interest rates.

My fixed rate comes to an end in April '23 and not only am I panicking about what the new rate will be, but more worryingly still, I'm wondering about whether I'll be able to retain my mortgage at all.

I'm a lone parent on a low income. When the mortgage was originally taken out I was married. As part of my divorce settlement my ex-husband (who's on a six figure salary) was instructed that his name must remain on the mortgage for 5 years. He has not contributed to the mortgage during this period other than in terms of child maintenance and is not entitled to any equity in the property. 

However, the end of the fixed rate, and the time my ex can withdraw his name from the mortgage are due to coincide and I'm worried that when the time comes to secure a new deal I won't be offered one based on my salary alone.

The remaining mortgage is around 165K. Unsure of the value of the house -  circa 460K according to Zoopla - but sadly I'd think that that's wildly optimistic! 

Any advice as to my best course of action would be very much appreciated.

K_S

@huxley71 For your ex to take his name off of the mortgage (leaving just you on it), the lender will need to agree (as per its affordability calculations and criteria) that the outstanding loan amount of 165k is affordable on your sole income. If the numbers don't add up, and you keep making the monthly mortgage payment, I don't think there's any way to force his way out of the mortgage.

When it comes to the end of the fix, you *should* be able to get a product-transfer/product-switch with your current lender without any income checks BUT both applicants will need to agree to it. If not, the mortgage will fall on to the lender's SVR (standard variable rate).

Huxley71 said:

Alongside a whole host of others, I'm bricking it a bit at the  current hike in interest rates.

My fixed rate comes to an end in April '23 and not only am I panicking about what the new rate will be, but more worryingly still, I'm wondering about whether I'll be able to retain my mortgage at all.

I'm a lone parent on a low income. When the mortgage was originally taken out I was married. As part of my divorce settlement my ex-husband (who's on a six figure salary) was instructed that his name must remain on the mortgage for 5 years. He has not contributed to the mortgage during this period other than in terms of child maintenance and is not entitled to any equity in the property. 

However, the end of the fixed rate, and the time my ex can withdraw his name from the mortgage are due to coincide and I'm worried that when the time comes to secure a new deal I won't be offered one based on my salary alone.

The remaining mortgage is around 165K. Unsure of the value of the house -  circa 460K according to Zoopla - but sadly I'd think that that's wildly optimistic! 

Any advice as to my best course of action would be very much appreciated.

Huxley71

Thank you @K_S hopefully, as you suggest, I'll just be able to swith with my current lender without too many complications (other than the rate!) 

Can I just ask what you mean by "I don't think there's any way to force his way out of the mortgage"?

Also, if they do reassess would they take maintenance payments into account?

Thanks again.