Yes – it’s possible in principle. But it’s not something you can do unilaterally.
To remove your brother and sister-in-law and replace them with your husband (and your other brother), you would normally need a transfer of equity and the lender’s approval.
What has to happen for this to work
Everyone has to agree
Your brother and sister-in-law will need to cooperate, because they are currently parties to the mortgage and the legal title.
The lender has to approve the new set-up
The lender will treat this like a fresh affordability and credit assessment. They’ll look at:
- the income and outgoings of you, your husband and your other brother
- your credit profiles
- the size of the mortgage and the loan-to-value
- any other borrowing or dependants
If the lender isn’t comfortable, the alternative is to remortgage to a new lender (subject to affordability and criteria).
Your two main routes
1) Stay with the current lender
You apply for a transfer of equity with a “transfer of mortgage” (i.e. the lender agrees to release two borrowers and accept two new ones).
This can be the simplest route if your current product is good and there are no restrictions.
2) Remortgage to a new lender
If the current lender won’t agree — or if their rates are uncompetitive — you can remortgage in the new names.
This may also be necessary if there are policy issues (for example, if the lender doesn’t like the proposed ownership structure).
Ownership on the title deeds
When you add or remove people, it’s important to decide how the property is legally held:
- Joint tenants: equal ownership, automatically passes to the surviving owner(s)
- Tenants in common: you can hold defined shares (useful when contributions aren’t equal)
If you’re bringing in a husband and another sibling, tenants in common is often the cleaner structure, but it depends on how you’re funding the mortgage and what you want to happen long term.
A solicitor should advise on the right set-up and put a declaration of trust in place if needed.
Costs and practicalities to expect
- lender/admin fees (vary by lender)
- legal fees for the transfer
- a valuation may be required
- if you remortgage, there may be early repayment charges depending on your current deal
Key watch-out
Even if you “want to keep it”, your brother and sister-in-law may still push for a sale if an agreement can’t be reached, especially if they need their equity back. So it’s worth moving quickly to see whether the affordability works and whether the lender is likely to play ball.
If you would like to discuss your enquiry in more detail, then please call 023 8235 2300 and we’ll arrange for you to speak to one of our experienced mortgage advisers.
