mortgage help please - relationship breakdown

saintdan

hi,

i am in the process of seperating from my partner.

we have a mortgage of around £127,000 on a house worth around £170,000.

she is a childminder & works from home & so not to cause disruption to my 2 kids i have decided that she can have the house & she will continue to pay the mortgage on her own.

currently the mortgage is in both of our names & i would like to remove my name, however i would imagine the mortgage company will not agree to just her name on the mortgage as she does not earn enough to meet their requirements.

her parents, who both have well paid jobs have said that they could put their names on the mortgage as well. will the mortgage company allow this do you think? if so how would i approach the subject with the mortgage company?

any help & thoughts appreciated.

thanks

money_maker_3

Hi,

Most companies will allow one or two people to replace the name being removed OR they can go on as gaurantors (sp??)
It would need to be your ex partner and her parents to do this application though and not you, you will not be involved in the new application, will just need to sign to give authority to remove your name.

Hope this helps

saintdan

money_maker wrote: »

Hi,

Most companies will allow one or two people to replace the name being removed OR they can go on as gaurantors (sp??)
It would need to be your ex partner and her parents to do this application though and not you, you will not be involved in the new application, will just need to sign to give authority to remove your name.

Hope this helps

thanks. they can sort that amongst themselves then. do you know, do you know if this is a lengthly process or is it just a case of changing names?

piranhalikethat

I'm currently going through something similar - my now expartner has agreed to move out and let me have the house, no children or guarantors involved though.

We bought the house at £75k, and is apparently worth around £85k now, and we have 4 years left on a fixed rate mortgage.
I'd like to avoid selling if possible but unsure if the bank would sign it over to me as it's a 100% graduate mortgage (he was a student).

Would anyone know what my best options would be?

Thanks

money_maker_3

saintdan wrote: »

thanks. they can sort that amongst themselves then. do you know, do you know if this is a lengthly process or is it just a case of changing names?

Can take about 3 months to complete as land registry needs done and solicitor needs to rewrite deeds

MarkyMarkD

piranhalikethat Given that it's got very hard to get 100% mortgages, you may find things difficult. But if, as you say, the value has increased by enough to take the mortgage under 90%, I can't see why you shouldn't be able to take it on.

piranhalikethat

Thanks Marky, got an appointment with the bank next week so will see what they say. Fingers crossed!

mandalay_2

Hi

Your ex partner (not you) needs to apply for a 'transfer of equity' which will enable her to get effectively a mortgage 'approval in principle' and at that point it will either a) be approved or b) turned down - at which point MOST banks/building societies will look at a guarantor, which usually has to be an immediate relative.

I have done many of these on a guarantor basis as it is sometimes the only way for a separated person with children to stay in the house and keep the mtg.

Please note that it is your ex partner the bank will need to see, not you. Too many times I have seen the person wanting to be removed from the mortgage come in to see us and it needs to be the other way round.

You will have to get a solicitor to do some basic stuff but its not normally expensive but you only need appoint a solicitor when the mtg in your ex partners name (and guarantor's if applicable) has been approved in full (i.e. it goes to offer)

Hope this helps