How can I be taken off the Mortgage?

Posted on 31 July 2012 by Ian


After a divorce, I am still on the former marital home mortgage (although my ex-wife wins the property and pays the mortgage). She can afford the mortgage payments but her salary is less than four times the loan value. I have two questions a) how can I be taken off the mortgage (the mortgage company has not agreed so far), and b) if I can't be taken off the mortgage, can I get another mortgage if I wanted to buy a house?

Ian

If your current mortgage lender has determined that your wife can not afford the mortgage payments on her own then they are quite within their rights not to release you from your mortgage covenants. 

There are several options open to your ex wife which may result in your name being removed:

  • Sell the property and purchase a cheaper home with a smaller mortgage.

  • Ask a relative to stand as Guarantor for the mortgage payments so that your income is no longer required.

  • Transfer the property and mortgage into joint names with a 3rd party.

  • Remortgage to another lender with more generous income terms.

Of these really only the last option is likely to be practical and if your ex wife is agreeable please ask her to call 0344 346 3672 and tell the consultant the date and title of your question.  They will then be able to conduct a factfind with her to determine whether or not this option is viable.

With regards to getting another mortgage in your sole name, this is going to be very difficult to do before you are released from your covenants without committing mortgage fraud.  All lenders ask if you are party to another mortgage and it will show up when they carry out their credit checks if you do not declare it.

I have passed your enquiry on to our in house solicitors Rollingsons to see if they are able to give you any legal advice on your current situation and you should hear directly from them shortly.

Peter

Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.

We recommend you seek professional advice with regard to any of these topics where appropriate.

You are currently offline. Some pages or content may fail to load.