Can my fiancee buy into my property?

Posted on 12 February 2013 by Geraldine


Can my fiancee buy into my property?

I am a home owner no mortgage on my cottage and we are considering my fiancee (we are to be married March 2014) buying into the property. Is it possible for him to obtain a mortgage for this and he pays me? The property is worth £350,000 and we are looking for a buy in of £100,000. He does not have any property or mortgage. Thank you.

Geraldine,

The short answer is that yes, your fiancee can buy into your property via a "Transfer of Equity", and this can be done with a joint mortgage application of £100,000. The application will have to be a joint one, as lenders will not allow you to be on the title deeds but not to be a party on the motrgage.

In order to protect your remaining equity you can set up the ownership of the property under a 'Tenants in Common' arrangement, where each party's share of the property is specifically defined, unlike 'Joint Tenants' case where any equity is a straight 50 / 50 split.

If you'd like to have an initial discussion with one of our consultants to go through your enquiry, then please let me know and I'll arrange a convenient time for one of them to contact you.

Regards,

Simon

simon.collins@johncharcol.co.uk

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