More than 1 morg? Please help!! despearte to help my mum..

sunshine6650

Right let me start...

Im despereate to help my mum, my dad leftabout 2 years ago, just upped & left no word nothing..blah blah..lots went on but the house..

Its a joint morg, she ahas been scrimping & saving working all hours god sends & more.. to pay morg on her own, at one point it was in arrears but recovered now i think..
she cant keep doing this..what can we do? can he sign the house over to her if we can track him down?
can it be a sole morg even tho she has had arrears?

She has mentioned shes going to the soilcitors to (im just getting bits of the story) give up the house, shes going to see about a 6mth break from morg, get it on the market via the bank i believe?? morg advisor maybe, she said they will sell it for rock bottom, about 50k as they will only want to cover the value not make money..

She did look into selling the house & renting it back out to one of 'those' companies..(where she sells it but rents it off the company, we talked her out of it..)

Who will get to buy this? could i? i have my own morg but rent my house out & live with my boyfriend who also has a morg.

How does it work regards having 2 morgs? is it possible?

Sorry for all of the questions im not sure what to say but i will be more clearer if i need tho..

I really want & need to help her, shes my mum, im quite settled & ok for money (well have some debts but nothing im not dealing with from this board!! we all want more!!) etc & i do everything i can..

what can i do? is there anyone who has knowledge in morgs?

Any help will be very well loved, im so worried & i dont know what to do, shes been so ill from it all & its getting me the same, i want her to have a better life, if it means she will no longer own the house then so be it..

but if there is anything i can do..

x x x

stebiz

Are you saying that her mortgae at prsent is 50k?? What is the LTV (Loan to Value)

Regards
Stebiz

hostie

Yes it is possible to have two ´residential´ mortgages but this will depend on your earnings. It will be calculated according to 'affordability' i.e whatever the mortgage provider thinks you can afford on your salary (usually about 4 times your salary I think). Even if your existing mortgage takes you up to this limit you should go to speak to a financial advisor as they can sometimes wangle things. Another option would be to change your existing mortgage to a buy to let mortgage (this only works if the rent you can get is much bigger than the mortgage payments - about a quarter again is normal I think) however this is probably not the best route as the interest will be huge. If you can get two residential mortgages then that is preferable.

Whatever you do, PLEASE go to see a financial advisor. If money is scarce go to a free one. They will get commission if they organise a mortgage for you, it might cost more in the long run but means that you won´t be shelling out unless something gets sorted. The financial advisor might be able to suggest the best route for your mum.

Good luck, it is lovely that you want to look after her like this but be careful not to get in deeper than you can afford.

lynnexxxo

one potential problem is that you will have to get your dad to sign things - your mum can't just get a new mortgage in her name only.

sunshine6650

stebiz,

The actual outstanding morg is only about 50-60k the value of the prop is about 110k.

Thank you all for help, im working this week but plan to go & see an independant advisor monday next week, In theroy the plan will be i try & buy the property & she will stay there & i will help slightly with the morg payments, maybe they might even be lower than she is apying now..bonus!

Its so hard when you wanna help someone!! My outstanding morg is about 110k which might put few problems, but my salary is ok so maybe, i can put making over payments on my loan for a while..

x x

martinman3

When I read this my thought was that you should see a solicitor first not a financial advisor.
I apologise if this is too personal but if your mother and father are married then she should file for divorce on grounds of 'desertion' if he left home more than 2 years ago.
http://www.direct.gov.uk/en/Parents/FamilyIssuesAndTheLaw/DG_4002976

Please understand that I only have very limited legal knowledge, obtained from watching Judge Judy mainly.:D

As far as I know, a settlement would have to take the house expenses (council tax, mortgage payments etc), which he did not contribute towards for that time, into account leaving your mother with more than 50% of the equity. Then you could purchase the remainder.

So see a solicitor if this applies to her and please don't consider those sell and rent back schemes.

clutton_2

you cannot sell the house without your fathers consent if his name is on the deeds and on the mortgage.

Travelqueen

Hi
It is possible to get two (or more mortgages)

I have a house in London on which my residential mortgage is covered by lodgers. In order to get this all I needed to show was that the rental value as stated by a registered estate agent would be 125% of the mortgage. As you already rent out your property I am presuming your mortgage is covered.

Also, although you live with your boyfriend I assume that you are not named as a contributor on his mortgage?

It might therefore be possible to go to your mothers mortgage company, explain the situation and come to some arrangement with them with regards to continuing payment on the mortgage.

As a previous poster has said though, if your dad deserted your mum you should definately see a solicitor, and equally any rise in value since he left and hasn't contributed, or any improvements since then shouldn't benefit him (you need to ask a law professional this though)

Also has your mum considered the 'rent a room' scheme - either through places like gumtree or to local colleges / unis for foriegn students. You can earn just over 4K a year doing this without penalty and this might help?

Lastly, I would strongly advise talking to her mortgage company and seeing if there is anything they can advise - most mortgage companies are loathe to repossess etc, and as with other debt companies if you explain the situation at least then you know you have tried everything.

Hope it all works out

TQ

sunshine6650

update:

my mums been to get legal advice..they said if he agrees to sign the house over to me alls good, i can then look at changing the morg to a cheaper one if poss, mum could stay there & almost rent it as she will be apying the morg..the only thing with this is the morgage payments need to be cheaper than they are now so she can afford it.

or..

Once signed over to me i could put on market, its valued approx 110-120k. Id put it up for say...105k, if i could get 100k still making a good profit & stuff it to him & hopefully pick my mum up in the meantime!

Its such a hard situation, all i want to do is make mum happy, lets all get on with life...without him!!!

Thank you all for your support..keep helping tho..this is only the start of a horrible process..ill be back asking more help as it goes on!!!

x

lynnexxxo

I would try to get your dad to sign over the house asap, you might not want him to know he would legally be entitled to half the profits.

Good luck