Changing an existing contractor mortgage. Help!

[Martin@AS Financial]

Hi all,
About 6 months ago I used a specific contractor broker to secure a first time home purchase for myself and my partner. The process was relatively straight forward and my affordability was based upon my day rate. My partner and I have recently seperated and I am looking to buy her out and take over the mortgage. I have approached a few brokers and they are not interested as I am not applying for a new mortgage. I have therefore had to apply for a transfer of equity through Nationwide directly (at my local branch) They will only let me proceed if I can prove my salary and or dividends meet their very high affordability model. As a contractor, like many, I take dividends when required and have a large amount of remained profit within my limited company. They are not interested in this or my day rate.
Any ideas what I can do? Unfortunately the contractor brokers appear to have access to a totally different section of the bank which is really frustrating.

Thanks

Hi Willis

Sorry to hear of your seperation.

Nationwide do work off a contractors daily rate. To offer you a mortgage based on your day rate and then try and assess your salary / dividend income means that the adviser you spoke to, did not understand their own lending criteria. This is however unless you have had a break recently?

[Lance]

If so, will a personal loan do?

You can't do that (well you can but it's an expensive way of buying someone else a house).
You need to change the title deeds, but with a mortgage the owner is the building society, and you need them to agree the credit terms before you can change the deeds. Taking a loan and paying him/her off will give them lots of cash but they still arguably own half the house.

If the deeds are held by the OP it may be possible to get them changed without involving the society, but that is very rare these days.

[kolata]

My partner and I have recently seperated and I am looking to buy her out and take over the mortgage.

Does that mean you need some money to pay her 50% of what have been paid so far?
If so, will a personal loan do?
Or you want to get a completely new mortgage in your sole name?

[Jess@ContractorFinancials]

Hi Wills,

Unfortunately, some of the high street lenders are unaware of their contractor policies in branch which can sometimes cause issues like you have experienced, where Nationwide are now looking only at your salary and dividends rather than your day rate. In addition to this, some brokers will have exclusive contractor policies with certain lenders which again can cause some issues.

It's probably best to speak with your original broker that arranged the mortgage for you, and see what they would suggest, as they may actually be able to assist you with what you are looking to do currently. If they are unable to help, your best bet is to speak to another contractor broker specialist who will be able to review all of the options for you.

[Darren at Fox-Bartfield]

Mortgage

Brokers tend to have access to products that are not available on the high street as well as those that are.

Is your broker not interested due to it not being a new mortgage? Have you tried ContractorFinancials, links down the right hand side

[alphadog]

Have you tried Ben Rogers at Power Mortgages? He might be able to help you. Tricky situation, all the best

[Wills]

Hi all,
About 6 months ago I used a specific contractor broker to secure a first time home purchase for myself and my partner. The process was relatively straight forward and my affordability was based upon my day rate. My partner and I have recently seperated and I am looking to buy her out and take over the mortgage. I have approached a few brokers and they are not interested as I am not applying for a new mortgage. I have therefore had to apply for a transfer of equity through Nationwide directly (at my local branch) They will only let me proceed if I can prove my salary and or dividends meet their very high affordability model. As a contractor, like many, I take dividends when required and have a large amount of remained profit within my limited company. They are not interested in this or my day rate.
Any ideas what I can do? Unfortunately the contractor brokers appear to have access to a totally different section of the bank which is really frustrating.

Thanks