How do XP and I decide who gets to benefit from the brilliant mortgage on the home we shared?

[MortgageMadness]

We're in the final stages of separating our finances. After XP leaving, DS and I have continued to live in the family home. XP has remained named on our mortgage, because I have been unable to take it on myself (not enough income), although I have considerable savings, and so have been able to pay him his share of equity in the property, and have been paying the monthly payments myself (out of savings) for some time. (We're in the process of drawing up a legal agreement which protects both our interests with regard to the mortgage/property.)

I'd like to stay living in the house with DS, who's really settled here, and I'd like to pay 2/3 to 3/4 of the mortgage off out of savings, retaining a smaller mortgage so that I'm not completely without savings. I'd assumed I'd simply pay off most of the existing mortgage that's in both our names, until I have reduced it to the point where the lender will permit me to take it on myself. This would be affordable for me.

The mortgage has an amazing rate - 1.1% over base - the likes of which neither XP nor I (nor anyone!) would ever get again. XP's view is that if I'm going to reduce the mortgage considerably, it would be fair to port it - with said favourable rate - to his house, on which he has a £350,000+ mortgage, so that it's being utilised to the full. I do understand his point of view.

But he left. He has had a mortgage on his new house for over 18 months, which he has been able to afford and which his fiancee and a lodger contribute to. I live alone with DS, and work part-time so I can be around for him before and after school/when he's sick/in the holidays - something which XP supports and DS thrives on. XP is a business consultant; I am a charity worker - so his earning potential is much greater than mine.

It seems unfair to me that, when he gets bitten by the expected interest rate rises and his fixed rate ends later this year (he didn't have to buy a bloody five-bedroom house!), I should "pay" by relinquishing the great mortgage on my home, then having to take out a more expensive mortgage - and effectively pay close to what I do now each month, for a much reduced debt. But he's right that the mortgage is still in both our names - it's "ours".

Argh, sorry to ramble. I just can't figure out what's fair, and while I'm mulling this, he's pressuring me to allow him to take on the mortgage. We can't both benefit from this brilliant deal - so who should get it?

Thanks for persevering! And for any advice.

See if your lender would do a split port. You could keep your portion on your current rate, your ex could port the rest of the balance over that you won't 'need' to his new property. The difference between the amount that you don't need and the 350k could be taken at a different rate.

The lender should be happy as they would be getting extra business on the top up that your husband would be borrowing.

If they say no at first push the issue as I know that this has been done before with a couple splitting.

Thanks, MrsOliverQueen. I didn't even know that was possible - at least in some cases. That would be the perfect solution. I'll look into it.

I have heard of that before too. If he is a business consultant I am wondering if he isn't aware of this... it seems the only fair way.

Well, we've asked the lender about the split port option and they've said no. They haven't been taking on new business for some time, and even though we're existing customers, they would view the split port as two new applications. So unfortunately, it's not an option.

Is there any other way we can somehow both continue to benefit from this great deal. Both enjoying such a good rate in the current climate would help no end with finances, and enable us both to stay in our respective homes. It would seem daft to relinquish it altogether, and unfair for one to benefit and the other not ... but risky to remain financially connected via it, too.

Any savvy mortgage types out there who've got any bright ideas?

Many thanks.