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Can I buy my ex out of the house?

Posted on 24 January 2013 by Mandy


I have a house with a current value of £125,000 and have an outstanding mortgage balance of £60,000 therefore having a £65,000 profit. Four years ago I separated from my partner and now wish to buy them out with an understanding of a £20,000 settlement to do so. Am I able to do this as I have capital? I live with my children but I do work full time and recieve other money. I am in good credit and the repayments are of no concern as I have no other finacial commitments apart from the basic living bills etc.

Mandy,

What you are looking to do is known as a "Transfer of Equity" and subject to you meeting a lenders basic criteria, I can't see any reason why you shouldn't be able to raise the additional £20,000 needed to buy your ex-partner out of the property. We'd obvioulsy need to know the exact figures involved, the loan to value is good, and you're working full time too, so I would be confident that we can assist you.

You could apply to your existing lender to do this, or we could look to do a full remortgage to a new lender. If you'd like to discuss your enquiry in more detail, then please let me know and I'll arrange for one of our consultants to contact you.

Regards,

Simon

simon.collins@johncharcol.co.uk

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