Joint Mortgage Question!

[Jenna96]

Hi all,

So - partner and I looking to buy the home we currently rent (I am in late 20s and he mid 30s) - this has already been discussed with landlord. We have lived here for 1.5 years.

I am self-employed and do not have the 2 years full accounts required for mortgage - however, DP does. Combined, we have a 33% deposit (half each) and I can easily afford half of the mortgage (it would be roughly the same as the current rent.)

Given these circumstances, is this something a broker might be able to help us with? Or - could my partner get a mortgage solely in his name but I pay half the mortgage and half the deposit and we have it drawn up with a solicitor that I own 50%?

Many thanks in advance!

I would try a broker. They often work with situations like this and will know which lenders will be open to it. Do try to get on the mortgage and deeds.

How many years accounts do you have @Jenna96

1 year, paying myself minimum wage from business by choice, which probably has not helped my case!

You won’t be able to be on the mortgage without the relevant books.

Your partner can get a mortgage in his own name and you can give him money towards it if you’d like, you can ringfence your part of the deposit with a solicitor but you’re likely going to have a problem with legally “owning” any % if not on the mortgage. A lot of lenders won’t allow this for the simple reason that if there is any default on payments then part of the terms of the mortgage mean they can repossess the house and sell it to get their investment back. That becomes more difficult to do if there is another party who “legally” owns 50%, who is not liable for the payments, so most providers will not allow this.

Can't a mortgage be joint even if the affordability of the payments is on the basis of one person?

Seems like that should be possible - otherwise how would SAHP be protected / retain the right to half the property? Maybe I've missed something.

Agree with @Rainsdropskeepfalling

Yes agree. This is correct

You can, with some providers, put another person on the mortgage without them being included in the affordability checks however it decreases affordability because that other person is classed as a dependent. So it reduces the overall amount you’re able to borrow.

SAHP are notoriously not protected, hence why every thread you’ll see on here really encourages anyone NOT to become a SAHP until they are married because marriage then provides that protection.

Speak to a broker. L& C or John Charcol. You can go on the mortgage with one years accounts but it'll reduce the lenders you can use (not bad rates).

@Mrsttcno1 thank you! Every day's a school day.

Our broker has got us a mortgage with 1 year’s books, there’s better lenders for it. Broker every day. Mine is free