Right to Acquire Mortgage

Coffeegirl1994

Hi, 

Me, my husband and our 2 kids live in a housing association property and I have done so for 7 years and he joined me about 5 years a go. My father sold a property and decided to gift us a lump sum which we didn't want to waste and decided to see if we could mortgage the property through right to acquire. 

We put through the paperwork and spoke to a few mortgage advisors who offered us our lending options which seemed fine. My husband's payslips are the ones mostly being used as he is full time and I am part time worker. The Housing Association have come back and rejected us for the scheme because my husband does not have indefinite leave to remain ( mortgage advisor said that was not an issue as he was here legally and has been for some time). 

The HA have said, I can reapply in my own right if I want to but the question, I have the deposit and my husband is the one on whose payslips we were relying on for the mortgage. On my payslips alone, I would not be able to take on a full mortgage. 

My question is, is there a way that I can do the application and have the mortgage but my husband's payslips also be used? We are a solid couple and have no trust issues, just trying not to waste the deposit and climb the property ladder. Any help will be appreciated

ACG

Ignoring the above... [Someone did make a post before mine, but they have now deleted it]
There are joint borrower sole proprietor mortgages. 

Whether you can combine RTA, a visa and JBSP all on the same application though is another matter. Its not a combination I have had to research before but before ruling it out completely (assuming the person above has not researched those combination of things), it might be possible it might not. I would not rule it out straight away though. 

Have you also spoken to the HA? If you broker confirms it can be overcome, why are they refusing it? Is there a reason for it? 

DE_612183

How long has he been in the UK - is he not able to apply for indefinite leave to remain?

kingstreet

When HTB first started, ILR was required. Later it was amended so if a mortgage could be arranged, qualification was automatic. As RTB/RTA involves transferring taxpayers' money to individuals, it may be a rule to prevent purchases by those without the right to remain in the UK...?

Coffeegirl1994

ACG said:

Ignoring the above... [Someone did make a post before mine, but they have now deleted it]
There are joint borrower sole proprietor mortgages. 

Whether you can combine RTA, a visa and JBSP all on the same application though is another matter. Its not a combination I have had to research before but before ruling it out completely (assuming the person above has not researched those combination of things), it might be possible it might not. I would not rule it out straight away though. 

Have you also spoken to the HA? If you broker confirms it can be overcome, why are they refusing it? Is there a reason for it? 

The exact reason they have stated on form is ' indefinite leave to remain is a requirement of the right to acquire therefore Mr X does not qualify'. There is no option to appeal or anything 

Coffeegirl1994

DE_612183 said:

How long has he been in the UK - is he not able to apply for indefinite leave to remain?

We are on 10 year route to settlement due to financial circumstances, he has 2 years left.

Coffeegirl1994

kingstreet said:

When HTB first started, ILR was required. Later it was amended so if a mortgage could be arranged, qualification was automatic. As RTB/RTA involves transferring taxpayers' money to individuals, it may be a rule to prevent purchases by those without the right to remain in the UK...?

Do you have any link or something to guide me about this legislation so that I might take it back to HA. It's really frustrating because only HA have brought it up. Mortgage advisor has said it's not an issue and our mortgage is ready to go.

kingstreet

It may be worth speaking to Homes England to find out if it's a rule they have. As I said, it was lifted on HTB Equity Loan within a couple of years of it being launched but RTB/RTA may be different. Still, HE is the gatekeeper for UK Govt Housing money in England.