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transferring from joint mortgage to single name - costs? capital gains?

2 replies

cestlavielife · 16/01/2009 10:30

how much does it cost to tranfer mortgage/property from joint to single names after separation? is there a captial gains issue over the "buy out" even if no actual money transferred in reality?

is it just case of solicitor fees to traansfer property in land registry to one name only?

there are actually two properties in both names - one is rented out and rent just covers mortgage.

the other ex lives in as i moved out to rent another flat with kids. no way could i liove next door to him!

probably i would have the rented property transferred to my name only and continue to rent it out while i rent nicer place...he can have the one he living in as his. they are two flats adjoining - same size etc. but "his" is worth a bit more as has a lease extension. so i would want him to "pay" me extra to take on that one....if only a paper payment.

he is paying the mortgage on the one he living in but on paper he would not get the same mortgage because his salary is low - it was based on mine.

but if he been paying it last few months will mortgage company accept that he can take responsibility for it if is transferred to his name only? even tho it is more than 4 or 5 times his salary?

OP posts:
PuzzleRocks · 16/01/2009 13:03

Bumping for you.

HappyMummyOfOne · 16/01/2009 21:24

The bank will only look at transferring the mortgage if he meets their borrowing criteria. If he doesnt earn enough, then they wont release you from the mortgage - may look at it if he has a guarantor or a good amount of equity but lenders are fussy in the current climate.

Capital gains tax only applies if the home being sold was not your main residence - will apply to the other if its sold/transferred but you can offset some tax etc which the solicitor will advise.

Usually fees for soliciitor, land registry and the bank admin etc.

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