SECOND CHARGE ON PROPERTY FOLLOWING SEPARATION

[Allycat]

Hi there. Myself and my STBEH have agreed on most aspects of our separation. I can not afford to buy him out of our house completely, so he has agreed that he will retain an amount on the house until our youngest ds is 18 (or other triggers).
I have applied for a mortgage from Santander but they have declined because of the second charge.
They say it is because my STBEH will have equitable interest in the property, so although he is a second charge, he still has priority should this ever need to be enforced.
Is there an enforcable document a solicitor can draw up instead so that he is protected without having a charge?
Many thanks, Allycat

You'd expect his charge to rank after your mortgage if you're only borrowing to clear the existing mortgage and to partly buy him out.

Yes, this was my understanding but Santander have said otherwise. Is there any ther way of him securely our agreement???

The order can specify about his charge ranking behind your charge to the lender.

Thanks Collaborate. I think that Santander want to be the only charge, full stop. They won't even entertain him being named anywhere.

I may have to try a different lender unless anyone else can think of anything.

I've not heard of that before, OP, and I've done a lot of matrimonial conveyancing. Santander shouldn't be prejudiced by a second charge.

Is there a divorce and consent order setting out the agreed terms? If so, then yr ex could just rely on the order (which could be enforced by an order for sale) as his "security" for now, and you could remortgage later perhaps with a more willing lender?

Otherwise you could draw up a simple contact between you...not as good for him should you have solvency problems in the future, but still enforceable as a contract.

Others may have more coherent thoughts?