Reply to: Question about mortgages

[Martin@AS Financial]

Haha - Sorry alreadypacked - meant you were spot on.

[alreadypacked]

That was unintentional

[d000hg]

d00dhg has hit the nail on the head.

That was unintentional

[Martin@AS Financial]

Can you buy a property in joint names on the deeds but only have one name on the mortgage (sole mortgage) or if the property is owned jointly, does the mortgage have to be in joint names?

TIA

d00dhg has hit the nail on the head.

Essentially the answer is no. Lenders require all parties to be on the mortgage because in the event of needing to reposesses the property, they wont be able to do so if someone else has joint ownership. A lot of the time, when filling out residential mortgage applications, lenders want to be made aware of all other persons living in the property such as partners and dependents.

[IR35FanClub]

That would be very stupid. You would be liable for the whole debt and she would be entitled to half the property. As someone who bought a house with an ex and spent an enourmous amount of money getting the house sold when we broke up as she was being a **** i had to get an order for sale through the courts.

If you buy a house with anyone who you arent married with, get a deed of trust signed by both parties outlining what happens if you break up.

Absolutely - are your sure you want just your name on the debt but both names on the asset? That's asking for trouble. Two guys I know have married a girl only to have her divorce them 1 year later taking half the house. Nasty! 1 girl was found out to have done it 5 times - basically her career was getting married and divorced on 1 year cycles to guys who had some cash. I do believe in Karma - so she must have had a nasty accident coming. Just don't envy whoveer caused it as she'll rinse them for everything! Actually - what would be justice is someone lying to her they were loaded - but in fact they were close to bankrupt and took half her money.

I'm just moving in with my current GF, politely mentioned when I was making the mortgage application she would be moving in. I knew what the outcome would be - mortgage company have given her a form to sign saying she has no rights to the property and can't stay if it gets repossed.

If you want a significant other to stay with you - just say I'll pay for the house and bills - you pay for the holidays and shopping. If things go pear shaped - and you are feeling bad you can always give them a few months rent on the way out the door. Or the phone number for the local council. Or if you think it will work out - tell them to stick an equivalent to half the mortgage in a savings account - untill you next move or pay off a lump sum when you add them to the mortgage in future.

[geoff from contracta IOM]

You could simply hold the other parties 50% interest in trust for them.

[Ketchup]

Yes, but these days I think the lender may not like that. What is easier is that one person is on the deeds and the second person registers his or her interest with the Land Registry

This is correct, the mortgage company will want the person on the deeds to be the mortgagee. The second person registers a charge on the property with the Land Registry. This way, on devolution of the title, the mortgage company are paid first (as they have first charge) then the second charge is paid.

[Paddy]

Can you buy a property in joint names on the deeds but only have one name on the mortgage (sole mortgage) or if the property is owned jointly, does the mortgage have to be in joint names?

TIA

Yes, but these days I think the lender may not like that. What is easier is that one person is on the deeds and the second person registers his or her interest with the Land Registry

[Ketchup]

That would be very stupid. You would be liable for the whole debt and she would be entitled to half the property. As someone who bought a house with an ex and spent an enourmous amount of money getting the house sold when we broke up as she was being a **** i had to get an order for sale through the courts.

If you buy a house with anyone who you arent married with, get a deed of trust signed by both parties outlining what happens if you break up.

[OwlHoot]

Can you buy a property in joint names on the deeds but only have one name on the mortgage (sole mortgage) or if the property is owned jointly, does the mortgage have to be in joint names?

TIA

I'd guess sure there's no problem in theory, as long everyone mentioned on the deeds agrees to a charge being added to the deeds in favour of the mortgagee.

[DimPrawn]

Not sure, but I think you might have an issue with whoever is lending you the money. They really own the property until the mortgage is paid, I am not sure they would like a third party involved. Who would they evict when the loan is not paid?

HTH

This is what I've been told.

[DimPrawn]

What is this thing mortgage of which you speak?

It is what us divorced peeps have to avoid living in a shop doorway.

HTH BIDI

[Troll]

What is this thing mortgage of which you speak?

[alreadypacked]

Can you buy a property in joint names on the deeds but only have one name on the mortgage (sole mortgage) or if the property is owned jointly, does the mortgage have to be in joint names?

TIA

Not sure, but I think you might have an issue with whoever is lending you the money. They really own the property until the mortgage is paid, I am not sure they would like a third party involved. Who would they evict when the loan is not paid?

HTH

[d000hg]

What's the aim here? It's not quite the same but on the house we own, the property and mortgage are both 100% in my name BUT there is a clause saying I can't sell the property without my wife's consent. At the time her credit rating was too awful to have her name anywhere near the paperwork so this was the advised way to make it 'our' house.

Also... just ask your friendly local independent mortgage adviser.