How to change from a joint home ownership and joint Mortgage

[Vaud]

was8v said:

Sounds like the house needs to be sold, and your friend use any uplift in value as a deposit to buy a home she can afford to repay a mortgage on.

Unless she has a (very good) friend or parent who can go in with her to get a mortgage on the place and she arrange to pay them back.

Or act as a guarantor?

[was8v]

Does she need to do anything? Not sure the ex partner can force her? Its him who has the problem.

Maybe he needs to give her some money in lieu of mortgage and CB so she can get her mortgage. He has children, he should be providing a home for them.

Sounds like he has saved some cash if he is getting a mortgage of his own.

[Durzel]

was8v said:

Does she need to do anything? Not sure the ex partner can force her? Its him who has the problem.

Maybe he needs to give her some money in lieu of mortgage and CB so she can get her mortgage. He has children, he should be providing a home for them.

Sounds like he has saved some cash if he is getting a mortgage of his own.

This.

Women sometimes get flak on here for taking their partners to the cleaners, but this is an instance where she should be getting money from her ex-partner, if not for her expenses then certainly for the child (which would include mortgage/utility payments).

[M-SportMatt]

I did this myself a good few years ago although i was in the house and paying the mortgage, I caught my GF cheating and booted her out, she was (foolishly) on the mortgage and once the dust had settled I wrote to the lender and asked for her to be removed, they confirmed with her and took her off, no bother, it was all lent against my earnings anyway so happy days.

Getting her off the deeds of the house was another matter, I had to get a solicitor and she had to sign the deeds over to me, bit of a pain but it happened.

interestingly the house was on a 110% mortgage and I sold it 4 years later for more than double what I paid for it in 2001........how times have changed!


Not the same as the OP but my experience of similar.

[mr rusty]

Durzel said:

was8v said:

Does she need to do anything? Not sure the ex partner can force her? Its him who has the problem.

Maybe he needs to give her some money in lieu of mortgage and CB so she can get her mortgage. He has children, he should be providing a home for them.

Sounds like he has saved some cash if he is getting a mortgage of his own.

This.

Women sometimes get flak on here for taking their partners to the cleaners, but this is an instance where she should be getting money from her ex-partner, if not for her expenses then certainly for the child (which would include mortgage/utility payments).

Yes this. If the ex has paid no CB then he isn't in the strongest of positions, even if he still technically has equity in the house. he won't be able to force a sale, particularly while there is a child in the house. OP can stay put and carry on. OP perhaps should find out how much would be needed in cash to be able to get a mortgage on her own, try and work out how much CB perhaps should have been paid and see how the figures work out, then try and do some sort of deal.

[dreamer75]

Not sure if this is helpful, but having gone through changing a mortgage from joint name to my name after a divorce about 2 years ago, and a friend doing the same thing after a non-marriage separation, I learnt this:

• You basically go through a fresh mortgage application. In my case I was living in the house, had been for some time, had been living in it alone and paying the bills, but it was a brand new application for the same mortgage product with the same mortgage company, who promptly rejected me as not being able to afford it. It was incredibly stressful ! (I did manage to get it in the end)

• You pay stamp duty to buy out your other half, unless it's a divorce. So I didn't pay stamp duty, but my friend did.

[GipsyHillClimber]

Echoing what others have said, if she's not going to be able to pass current affordability tests for a new mortgage then she may want to seriously look at downsizing. You may be able to help her, just get the house valued and find out how much the mortgage was for, if she's lucky/ in the right place in the country then the current value will be larger than the amount to pay then the IO mortgage term ends, she can then either look to downsize or potentially use that extra chunk to remortgage in the hope that the difference in the LTV makes a significant difference to affordability?

As some others have said she could really be at risk if the interest rates rise during the remaining term of the loan at which point the decision on whether or not to sell could easily be taken out of her hands with a lot of charges and unpleasantness to go along with it (e.g. the house being repossessed and sold at auction).

Best port of call would be to have a chat with a broker.

[cootuk]

How old is the child?
Might be better for things to stay as they are until the child is old enough to move out, rather than cause disruption.
Then the lady can downsize or rent or whatever

[Durzel]

cootuk said:

How old is the child?
Might be better for things to stay as they are until the child is old enough to move out, rather than cause disruption.
Then the lady can downsize or rent or whatever

The ex wants out of the mortgage though.

[Chucklehead]

the mortgage is the first hurdle.. Once he gets his second home SDLT bill, he'll be wanting off the deeds.

[Vaud]

Durzel said:

The ex wants out of the mortgage though.

Understood, but he seems to want to get out of his liabilities with no penalty?

[Durzel]

Chucklehead said:

the mortgage is the first hurdle.. Once he gets his second home SDLT bill, he'll be wanting off the deeds.

From earlier:

JMDVAN said:

The estranged partner. Has tried to get a mortgage in his own name as he has recently separated. But can't get it as his name is still on the original one and bank said no. Hence why he wants out. Also think he has grow up and realised he has paid nothing child support mortgage in nearly ten years.

So he can't even get a second mortgage because of the pre-existing one.

He would have to make some kind of concession, and one would suggest the OP's friend highlight the lack of mortgage & CS payments as an incentive for him to forgo an even share of whatever equity exists.

Doesn't help the OP's friend though, as it is clear she would not get the mortgage she has currently if she had to apply again.

[surveyor]

fewfe3 said:

Unfortunately it is not going to be that simple, if she can't afford to get a mortgage on her own.
It won't matter that she has been able to pay the current mortgage for the last 9 years because a new mortgage is likely to be a lot more, as you will have to pay interest + capital.

I don't think it is unheard of for people buying around that time on interest only mortgages to not have something set up to pay off the final amount. I'm not sure what people rely on to pay of the mortgage at the end, but if they were made to put x amount away to pay for it at the end of the term they might as well had a capital repayment mortage

i know of a landlord who has built up a large portfolio (mainly commercial) through equity only. Relying on increased values to allow him to get out at the right time,

His portfolio was in profit, but the bank have lost patience at the Interest Only status and appointed Law of Property Receivers. The result is the landlord has lost all the income (which is being directed at paying off the loans) and the Portfolio will likely be sold under him. In the meantime the LL is still responsible for tax on the income that he no longer receives and business rates on empty property. If there is a shortfall lender will come after him personally.

Interest Only is a risky strategy..