Mortgage if partner moves in

[mortgagequestion1]

Hello, not too sure where to put this but just after some advice please.

Have lived in my property for 2 years and have a repayment mortgage. The internet rate is set for 5 years so ends at the end of 2020.

My boyfriend and I are in talks of moving in together this year. When he moves in I will lose my tax credits etc but his income will make up for this.

When it comes to re negotiation the interest/mortgage in 2020, what checks will my mortgage company likely do? My credit rating will be fine but I earn less now then when I took the mortgage out (due to going to term time only work to fit around kids as a single mum now) but the repayments are very affordable for me. Will they want to look at what I ear because if they do and take that in account they might say they won't lend as much? I am happy to put my dp on the mortgage as he will be paying towards it but I'm a bit confused at the whole process.

Any advice would be gratefully received.

Is he a higher earner? Perhaps he could pay a higher proportion of the bills? When I moved into now DH's flat we proportioned the bills based on income. Will he be happy in the short term contributing to the mortgage if he's not named on it?

I think if you can come up with a short term solution that doesn't cause resentment or leads to you risking your equity, you can then concentrate on enjoying your relationship and see where you are in two years, when you can then think about your longer term plans (inc whether or not that will involve marriage).

It wouldn't be fair to only pay half the bills. He'll be saving 700pcm in rent and you'll be out of pocket when he moves in so it only makes sense that he contributes more. You won't be out of pocket and he'll still be saving loads.

At the end of the fixed rate it will probably move on to their standard variable rate if you don't do anything, which may be more expensive but any new offer they have will probably have the usual affordability checks unfortunately.

Having said that, you already have quite a low loan-to-value which means you'd qualify for a good offer, and as property prices generally rise the loan-to-value would be even lower in 2020 which is in your favour. I know when we were looking at mortgages a few years ago, the best rates were for 75% and under and you're already comfortably within that range!

Im also with Halifax and no affordability checks were made when i took out a new product in November as my previous fixed rate had ended. As long as you arent borrowing any extra and are not changing the term or anything, you can apply online and its all done really quickly.

I've changed product with the same provider three times now and never had to resubmit earnings.

Sorry if ive missed it but what is the issue? Just stay with the halifax and pick the best fix they can offer. When we had our mortgage with nationwide, they contacted us about 5 months before fix ended and we chose the best one for us. It was rarely more than a few tenths of a percentage poiny in it between them and the cheapest. No income checks or anythi ng.
If you and dp marry, your assets are realistically 50/50 regardless so i wouldnt sweat about that either.

I would also say that as your ltv is less than 50 percent stop worrying!

OP your post has just spured me on to investigate because we're in a similar circumstance. Although we bought together my salary is now 2 thirds less and we have an additional child since moving in and one on the way. We can also afford the repayments (and often overpay!) but if we tried to get the same mortgage now, we wouldn't have been given it due to affordability checks. Our product ends in 3 years and our LTV will be between 80 - 85% depending on over payments. I've just had a look on our providers website and according to them, there are two options when a product ends and you want to switch to a new one. 1) you switch product with advise in which case you have to go through all of the checks again or 2) you switch products with no advise and don't go through the checks.

I'm pretty savvy with this stuff and so am happy to do it without advice and as others have said it's pretty straightforward. Why don't you have a look on your providers website and see what they say?

Based on your LTV I'd say you likely don't need to worry. Bear in mind that you could also have had a payrise by the time it comes round to switch products.

We'll need to stay with the same provider with our circumstances but if our circumstances change (ie I get a full time job again) then we won't.

Think the OP might be referring to SVR. Which she will get dumped onto without any checks by her lender when her current deal ends.