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Bigbrowney
Posts: 8 Forumite
Ok, so this is my first post so please go easy as this is a tricky one to digest! 🤗
So I bought a house last year for £190k with just myself on the title deeds and mortgage, I paid stamp duty for the purchase (can't remember the exact figure) and I signed a deeds of consent to allow my Fianc! to live with me and she has been on the electoral roll since we moved in together.
18 months later and a lot of work to the house it is now worth approx £70k more than I paid for it and I would like to release some equity in order to complete the full renovations (approx £15k).
Problem 1:) Due to the refurb of the property - approx £30k of personal debt, I on paper can no longer afford the mortgage I have let alone a remortgage for £15k more (I took out the mortgage 18 months ago with zero debt) so I would like to add my Fianc! to the mortgage and deeds if necessary to increase the affordability and thus allow us to remortgage for a higher amount
Problem 2:) My Fianc! already owns a property from 10 years ago and a past relationship, she has not lived nor stepped foot in that house since she left her ex partner so it has not been her main residence since 2008.
She has been trying since then to get her name removed from the mortgage by means of a name change to his father as guarantor but her ex is too lazy to do anything and has just allowed the situation to drag on.
Her ex still lives in the property with his wife (wed in 2010) and 3 children so she cannot force him to sell as a solicitor has told us no court will push through a force of sale when young children are involved.
My fiance has wanted to be rid of this situation since they split up but he has been too lazy to sort anything out.
The question now lies... If I want to add my fiance to the deeds of MY house and ultimately to a mortgage application is there any stamp duty to pay on her part?
I've been scouring the internet for weeks now trying to find an answer but have failed so far, if there are any clever clogs on here who can give me some guidance it would be greatly appreciated.
Thanks!
Ash.
So I bought a house last year for £190k with just myself on the title deeds and mortgage, I paid stamp duty for the purchase (can't remember the exact figure) and I signed a deeds of consent to allow my Fianc! to live with me and she has been on the electoral roll since we moved in together.
18 months later and a lot of work to the house it is now worth approx £70k more than I paid for it and I would like to release some equity in order to complete the full renovations (approx £15k).
Problem 1:) Due to the refurb of the property - approx £30k of personal debt, I on paper can no longer afford the mortgage I have let alone a remortgage for £15k more (I took out the mortgage 18 months ago with zero debt) so I would like to add my Fianc! to the mortgage and deeds if necessary to increase the affordability and thus allow us to remortgage for a higher amount
Problem 2:) My Fianc! already owns a property from 10 years ago and a past relationship, she has not lived nor stepped foot in that house since she left her ex partner so it has not been her main residence since 2008.
She has been trying since then to get her name removed from the mortgage by means of a name change to his father as guarantor but her ex is too lazy to do anything and has just allowed the situation to drag on.
Her ex still lives in the property with his wife (wed in 2010) and 3 children so she cannot force him to sell as a solicitor has told us no court will push through a force of sale when young children are involved.
My fiance has wanted to be rid of this situation since they split up but he has been too lazy to sort anything out.
The question now lies... If I want to add my fiance to the deeds of MY house and ultimately to a mortgage application is there any stamp duty to pay on her part?
I've been scouring the internet for weeks now trying to find an answer but have failed so far, if there are any clever clogs on here who can give me some guidance it would be greatly appreciated.
Thanks!
Ash.
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Comments
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Ask your solicitor, while enquiring about the costs.0
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You can’t “name change” a mortgage. The old house will have to be remortgaged with the subsequent tests on affordability of the new mortgagees.Signature on holiday for two weeks0
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Stamp duty is payable even if she's your wife, on the consideration of the mortgage. The 3% surcharge is an issue. And she's not your wife yet, even.
That's a very expensive way of borrowing just £15k. Are you wanting to consolidate that £30k as well as the £15k?Everything that is supposed to be in heaven is already here on earth.
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We've kind of put that to bed now anyway and we're no longer pursuing it... whatever happens my other half is owed half of any profits from future sale of the house as she owns half of the house.
He's just too stupid to realise that.0 -
I wasn't planning on consolidation of the £30k as I will probably have that paid off in 4-5 years, the £15k was for additional work to the exterior of the house, windows / roof and cladding.
I'm not in a position to borrow more and the exterior work required won't wait 5 years.0 -
So basically there will be some stamp duty to pay? What exactly I still can't figure out as I've paid what I owed when I purchased the house so I assume it will be the difference of that subtracted from anything owed by my fianc! entering into the mortgage.0 -
Bigbrowney wrote: »whatever happens my other half is owed half of any profits from future sale of the house as she owns half of the house.
He's just too stupid to realise that.
I wouldn’t count on it. Non contribution to upkeep, mortgage payments etc. Tenants in common or joint tenants on the deeds? Too many variables to assume automatic entitlement to half this late in the day.Signature on holiday for two weeks0 -
Joint tenants, the upkeep and payment of mortgage is irrelevant, she is legally entitled to an equal share of any profits on the house when it is sold.
The house can also not be sold or remortgaged without her consent.
She has an equal right to whole property, and should her ex pass away then she would receive the whole rights to the property.0 -
What is a Fianc! :rotfl: ??!!0
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Fiance, it would appear when you spell it correctly with the accented "e" you get an !0
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