Posted on 30 April 2012 by Laura
My partner and I are moving into his parents house and we want to extend the property. The mortgage on the house is paid off and we wondered if you can remortgage the property to raise the capital to build the extension?
You can certainly use the property as security for a new mortgage to fund building the extension. But and it is a big but, the mortgage will have to be in the names of the owners as registered with the Land Registry and if ownership has not been transferred to yourselves you will not be able to raise a mortgage.
Both you and your partner's parents would need to take independent legal advice before any change of title and then once the transfer had been completed you could apply for a mortgage in your names. If for any reason the property has not been transferred and is unlikely to be, for example if your partner has siblings who would stand to lose their inheritance, it may be possible to raised the money in his parents names with you as joint borrowers. It is possible to get a mortgage in more names than show on the Deeds, but never less.
I believe we can help you and that you would benefit from speaking to one of our independent mortgage advisers. Please call 0344 346 3672 and tell the consultant the date and title of your question, they will then be able to help you find the right mortgage for your situation.
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.