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I think I can cover the new mortgage and my half of the other one, but have been told that I can't. Is this right?

Posted on 13 August 2015 by Debbie


Hi, I am currently named on a mortgage with my husband and I don’t want to come off of that one. We are looking for a mortgage of £50 000 and we are putting down £25 000 deposit. According to my calculations my salary is enough to cover the new mortgage and my half of the other one. We have been told that I would most certainly have to remove myself from the mortgage with my husband before we can proceed with the new one. Is this really necessary? Thanks, Debbie

Debbie,

I'm afraid that this may well be the case. All joint borrowers are what is known as "jointly & severally responsible" for the mortgage, which means that as far as any lender is concerned, irrespective of whatever private arrangements you may have between yourself and your hsuband, both of you are equally liable for the whole of the monthly payment. Therefore, when they are assessing your affordability for the new property, they will factor in that you are liable for 100% of the current mortgage, rather than the 50% you actually pay.

All lenders do have slightly different ways to calculate affordability, and it may well be that there's one in the market who could assist you.

If you'd like to discuss your options in more detail, then please contact one of our consultants on 0344 346 3672 and they'll be able to give you an idea of whether we can help you in this instance.

Regards,

Simon

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