Coming off the mortgage, but staying on deeds
Discussion
Short story, is that I'm still 50/50 with my ex partner in the family house.
I want to come off the joint mortgage, so I'm able to try and buy something myself. I'm (for the moment) leaving equity in the property. She has found someone that'd lend to her in her own name.
I need to stay on the deeds to ensure my interest in the property remains until she buys me out / sells etc. Likely in 10 years or so once the kids are older.
Her mortgage chap has said I can put a 2nd charge on the property but did say we'd need a conveyancing lawyer to sort out the deeds etc. I thought it'd be a fairly simple process to just come off the mortgage? Didn't think the 'deeds' would need to be touched in any way.
Has anyone done anything similar? Appreciate it might be a niche question...
I want to come off the joint mortgage, so I'm able to try and buy something myself. I'm (for the moment) leaving equity in the property. She has found someone that'd lend to her in her own name.
I need to stay on the deeds to ensure my interest in the property remains until she buys me out / sells etc. Likely in 10 years or so once the kids are older.
Her mortgage chap has said I can put a 2nd charge on the property but did say we'd need a conveyancing lawyer to sort out the deeds etc. I thought it'd be a fairly simple process to just come off the mortgage? Didn't think the 'deeds' would need to be touched in any way.
Has anyone done anything similar? Appreciate it might be a niche question...
nickd01 said:
Short story, is that I'm still 50/50 with my ex partner in the family house.
I want to come off the joint mortgage, so I'm able to try and buy something myself. I'm (for the moment) leaving equity in the property. She has found someone that'd lend to her in her own name.
I need to stay on the deeds to ensure my interest in the property remains until she buys me out / sells etc. Likely in 10 years or so once the kids are older.
Her mortgage chap has said I can put a 2nd charge on the property but did say we'd need a conveyancing lawyer to sort out the deeds etc. I thought it'd be a fairly simple process to just come off the mortgage? Didn't think the 'deeds' would need to be touched in any way.
Has anyone done anything similar? Appreciate it might be a niche question...
Most mortgage lenders will not agree to you being on the deeds but not on the mortgage as you have found out. I thought it was only possible to apply a charging order against a property to secure a debt if a CCJ had already been issued?I want to come off the joint mortgage, so I'm able to try and buy something myself. I'm (for the moment) leaving equity in the property. She has found someone that'd lend to her in her own name.
I need to stay on the deeds to ensure my interest in the property remains until she buys me out / sells etc. Likely in 10 years or so once the kids are older.
Her mortgage chap has said I can put a 2nd charge on the property but did say we'd need a conveyancing lawyer to sort out the deeds etc. I thought it'd be a fairly simple process to just come off the mortgage? Didn't think the 'deeds' would need to be touched in any way.
Has anyone done anything similar? Appreciate it might be a niche question...
Even if you get one surely it only applies if the house is ever sold, what do you do if she never sells the house?
Also don't forget that if you did remain on the deed and purchased another house in your name you would be liable for Secondary Stamp Duty.
This is the most difficult bit when you get divorced, nobody tells you how complicated it will be and how screwed you are going to be.
Thanks chaps, didn't realise this would be so tricky - we were never married so thankfully the house is the only asset to split.
Essentially, one idea is to leave my equity in the property until the youngest is 18 (10yrs to go) We've agreed a 50/50 split so my share goes up (and down I suppose) with the house price as long as my money is in the house. My worry is in 10 years time, she won't be able to afford to buy me out (in pure £ terms) as house prices would have gone up. In that case, she simply has to sell.
I'd like to buy a smaller place somewhere just so I have a 'home' - so thought coming off the mortgage was the easiest thing. As you've both pointed out, it's not that easy!
I'm wondering about buying her out, and letting her rent from me?
What kind of person can advise on this? - financial advisor? mortgage broker? Seems like such a maze to navigate!
Essentially, one idea is to leave my equity in the property until the youngest is 18 (10yrs to go) We've agreed a 50/50 split so my share goes up (and down I suppose) with the house price as long as my money is in the house. My worry is in 10 years time, she won't be able to afford to buy me out (in pure £ terms) as house prices would have gone up. In that case, she simply has to sell.
I'd like to buy a smaller place somewhere just so I have a 'home' - so thought coming off the mortgage was the easiest thing. As you've both pointed out, it's not that easy!
I'm wondering about buying her out, and letting her rent from me?
What kind of person can advise on this? - financial advisor? mortgage broker? Seems like such a maze to navigate!
As above talk to Sarnie for options (he's awesome).
Aside from that, you'll need to consider her greater equity share as she'll still be paying the mortgage, you can't expect her to pay off the mortgage then you swoop in for 50%. And what about maintenance - are you going to contribute to anything the house needs, or if she pays will you reduce equity? To offset that, she won't be paying rent. Not as straightfoward as you think though.
Aside from that, you'll need to consider her greater equity share as she'll still be paying the mortgage, you can't expect her to pay off the mortgage then you swoop in for 50%. And what about maintenance - are you going to contribute to anything the house needs, or if she pays will you reduce equity? To offset that, she won't be paying rent. Not as straightfoward as you think though.
Op
If you could get the mortgage in her name and you as second charge on the deeds - what would happen IF house prices fall (hard ) and she has to sell but in selling it merely clears her outstanding mortgage and zilch for you or a trivial amount?
If she has a new person (man) the ideal would be for him to buy you out.
If you could get the mortgage in her name and you as second charge on the deeds - what would happen IF house prices fall (hard ) and she has to sell but in selling it merely clears her outstanding mortgage and zilch for you or a trivial amount?
If she has a new person (man) the ideal would be for him to buy you out.
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