Can you split a mortgage 4 wats?

wannaberich41

Hi
can anyone please kindly give me the best advice please.  I have a joint mortgage with my husband.  We have 13 yrs 8 months left on our mortgage.  My daughter and husband have only been paying a mortgage for about 3/4 years.  My daughter has a few horses on livery but looking to possibly sell both houses and get mortgages together to be able to afford a property with the land we require. 

What is the best way to do this please?
also if anything happens too me and my husband currently it goes 50/50 between both our children.  How would we deal with this if we have mortgage with our daughter as well against the property?
many thanks 

housebuyer143

Yes, you can get a mortgage up to 4 people although you will need a broker especially if buying the new house with a lot of land.
You would sign up to tenants in common and detail your individual shares in a declaration of trust. You can still leave your husbands share to your children in your will if you do this.

MWT

wannaberich41 said:

...also if anything happens too me and my husband currently it goes 50/50 between both our children.  How would we deal with this if we have mortgage with our daughter as well against the property?

Also consider your options in later life for funding care fees if that becomes necessary...

With the sort of arrangement you are considering, you will not be able to use Equity Release to access any part of the property value, so that could impact on the degree of choice and quality of care available...

sheramber

You can leave your and your husband's share of the house to your other child but they could only realise it if your daughter bought them out or sold the property.

dimbo61

Your going to buy house and set up a livery so starting a business ?
Will you keep other horses and offer riding lessons ?
Limited company with mum,dad,daughter and husband plus other child as directors!
Just an idea 

MWT

dimbo61 said:

Your going to buy house and set up a livery so starting a business ?

If that is the case then they will not be able to get a residential mortgage...

Even if the use is not commercial the pool of lenders willing to consider a property with a significant amount of grazing and potentially other equine facilities is already fairly small...

Strummer22

MWT said:

dimbo61 said:

Your going to buy house and set up a livery so starting a business ?

If that is the case then they will not be able to get a residential mortgage...

Even if the use is not commercial the pool of lenders willing to consider a property with a significant amount of grazing and potentially other equine facilities is already fairly small...

This is almost exactly what my family has done. There are four of us on the mortgage and deeds as tenants in common. My wife and her mum run a livery yard and outdoor wellbeing business.

We were able to get a residential mortgage, which is great as the terms for commercial options put to us looked awful. As already noted the pool of lenders is much smaller than for a typical home and none of the usual high street lenders will consider it. Nearly impossible to get a fix too (bad news for us given we took out the mortgage just before rates shot up!). Our mortgage is a discounted SVR with Swansea Building Society. We had an excellent broker from a small firm help us out albeit not particularly cheap. DM me if you want the recommendation.

Conveyancing, on the other hand, was a nightmare!

MWT

Strummer22 said:

We were able to get a residential mortgage, which is great as the terms for commercial options put to us looked awful.

Looks like you found a unicorn that will accept 'part commercial' and 'small holding' scale of land on a residential mortgage...

Excellent find and one to remember as there have been a few similar requests on here without a good answer over the last year or so...

Strummer22

Yes it was an excellent find and of course it goes without saying that there was full disclosure to the lender about our intention to run a business at the property.

The sellers had a charge on the deeds for a mortgage with Nationwide - despite the fact that they had more than one business on the go. I can only imagine these business were started after the mortgage term commenced.