About The Author

mortgage broker damian youell



See some of Damian’s client reviews below

Damian is an experienced mortgage broker, founder of NeedingAdvice.co.uk Ltd and company director. With over a decade working as a mortgage broker he has a strong understanding of hard to place mortgage cases. With hundreds of 5 star client reviews. hundreds of repeat clients his work speaks for himself.

He started NeedingAdvice.co.uk as a one man band with the philosophy of putting clients needs ahead of his own. This ethos of offering excellent customer service has helped the business grow over the years. He gets satisfaction on getting cases pushed through to offer stage where other mortgage broker and companies have failed.

Throughout his time as an adviser he has carved out a niche area of advice helping clients with their business protection requirements too. Having helped hundreds of client with Relevant Life Policies, Shareholder Protection Insurance, Keyperson Policies and other important protection requirements of large to small businesses.

At home he is a family man and likes to spend his time with his four children and wife Lisa. He enjoys going on holidays spending time with friends and going for walks.

As a mortgage broker in the UK, I understand that life’s journey often involves significant milestones. One such milestone may be the decision to add a long-term partner to your mortgage.

This step can be a testament to the strength and commitment of your relationship, and it can also provide financial benefits, such as increasing the likelihood of your mortgage loan being paid off. However, it’s not as simple as just adding a name to a document. In this article, we will delve into the intricacies of this process, providing a comprehensive guide on how to add your partner to your mortgage. So, whether you’re taking your relationship to the next level or seeking to leverage financial synergies, this article will equip you with the knowledge you need. Let’s embark on this journey together.

Post Topics

How do I add my partner onto my mortgage?

Other things to consider when adding your partner to your mortgage

Joint tenants vs tenants in common

Next steps

FAQs

How do I add my partner onto my mortgage?

To start the process of adding your partner to your mortgage, you should approach your current mortgage lender and they will carry out checks on your partner just as they do for any other type of mortgage application. They will carry out income and affordability checks and check your partner’s credit score and credit history. If they are not satisfied with your partner during those checks, the lender has every right to refuse the request of adding your partner to your mortgage.

You can approach a new lender if you are not tied into a product with your current mortgage lender. If you are midway into a deal with your existing lender, there may be hefty exit fees so take this into consideration before deciding to switch lenders. Bear in mind, you will both be required to undergo the usual checks just like any other type of mortgage application. There is the potential that you may be able to access a better deal and interest rate by switching lenders.

There is also an option for joint mortgage with sibling which you can read on our website.

 


Other things to consider when adding your partner to your mortgage

A joint mortgage is mortgage taken with a civil partnership, life partner, sibling or friend. This means that both parties would need to sign up to the same terms. The main difference between a joint mortgage and a normal mortgage is that the borrower must have equal financial responsibility for the debt.

If one party defaults on their payments, then the other party will still be liable for the full amount of the loan. It is important to note that if one party does not pay their share of the monthly payment, then the other party could lose their home.

A joint mortgage or even a joint bank account will make two parties associated with each other so if one parties’ credit rating is poor, it might have an impact on the other parties credit score. This might make it more difficult to remortgage or take out other loans in the future. It is rational to discuss both your financial standings together first and checking both your credit history to ensure it won’t have a negative impact on each other.

A lender may charge you an administration fee for adding your partner to your mortgage and usually you will be required to seek legal advice to carry out the process of adding a partner to a mortgage so be aware that there might be added costs involved.

It is a wise idea to ensure any wills are up to date and amendments made if required. There is also a option for removing a partner when one partner enters a civil partnership with someone new which we will discuss in some other article.


Joint tenants vs tenants in common

If you are considering on adding your partner to your mortgage, you will need to decide whether to hold the property as joint tenants or tenants in common.

Joint tenants or joint tenancy – this is the most common option for couples. Both parties have equal share in the property and is both equally and severally liable for the mortgage loan. This means if there are defaults in payments, the lender can sue either one or both people for the whole loan amount. In the event one person passes away, the property would be passed on to the other party and they wouldn’t be able to leave their part of the property to someone else in their will.

Tenants in common – generally this is used between friends or siblings who own a property together rather than a couple. How this differs from joint tenants is that the share of the property is split between the two parties, by a percentage split of their choosing (does not have to be 50% each). When the property is sold, the equity would be split between the two parties as per their percentage share. Tenants in common also has different legal implications compared to joint tenants. In the event of death of one party, their share of the property is not automatically transferred to the other person, but rather passed to the next of kin or named beneficiary.

In both instances, all tenants must be in agreement if they wish to sell the property.


Next Steps

If you are unsure of how to add your partner to your mortgage or what the best approach is, it may be easier to seek professional advice from a mortgage broker. If for any reason you are unable to add your partner onto your mortgage with your current lender, a mortgage broker can help analyse the reason and with knowledge of other lenders on the market, could potentially match you up with an alternative lender and find you a deal that is best for your own personal circumstances.

Damian Youell

Feel Free To Start WhatsApp Chat With Us...

How We Work

1: We contact you and take down your details, income outgoings, name, address etc.

2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.

3: You upload the documents and information needed via our channel our online portal.

Feel Free to Contact Us

FAQ: Adding a Partner to Your Mortgage

How do I remove someone from a mortgage?

To remove someone from a mortgage, you’ll need to undergo a legal process similar to adding a person but in reverse. Inform your current mortgage lender with a formal letter stating your intention and the reasons behind it. The lender will guide you through the necessary steps, which typically involve legal and financial assessments.

How can I remove an ex from the mortgage without refinancing?

Removing an ex-partner from the mortgage without refinancing is possible but must be done before the mortgage term ends. You’ll need to negotiate with your current mortgage lender and possibly undergo a transfer of equity, where your ex-partner relinquishes their share in the property. Legal advice and a credit check may be necessary to proceed.

What are the steps to get my name off a joint mortgage in the UK?

To remove your name from a joint mortgage:

  1. Contact your mortgage lender and express your intent.
  2. Complete any forms they provide and return them promptly.
  3. Your lender will process the request and remove your name, subject to their terms and a possible affordability check on the remaining party.

If you want, you can also contact a mortgage broker to help you with the process.

How long does it take to remove my name from a mortgage?

The time it takes can vary widely depending on your mortgage type and lender. Typically, it might take around 2 weeks for a standard case, but more complex situations or certain mortgage types might take longer.

Can I remove my spouse from my mortgage?

Yes, you can remove your spouse from the mortgage by contacting your mortgage lender and following their specific process, which usually involves proving that the remaining party can afford the mortgage on their own.

What is Transfer of Equity?

Transfer of equity is a legal process where one person’s ownership share of the property is transferred to another, such as in the case of adding or removing someone from a mortgage. It involves legal documentation, possibly a new mortgage application, and settling any outstanding amounts owed by the person leaving the property.

What are the key stages of Transfer of Equity?

  1. Agreement: Both parties agree on the transfer terms.
  2. Payment: The incoming party pays the agreed amount to the outgoing party.
  3. Release of Claims: The outgoing party releases their claims on the property.
  4. Transfer of Funds: Funds are exchanged, and legal documents are signed.
  5. Property Deed Transfer: The property deed is officially transferred to the new owner.
  6. Completion: All necessary paperwork is completed with the local authority and lender.

How much does it cost to transfer equity?

The cost varies based on transaction size, legal fees, and potentially stamp duty. You’ll also need to consider any mortgage fees if the transfer involves changing the mortgage or adding someone new to it.

Do I have to pay Stamp Duty when transferring equity?

Stamp duty may be payable depending on the transaction’s value and your specific circumstances, such as if there’s an outstanding mortgage on the property. Consult with a financial adviser or legal professional for precise calculations.

What happens when there is a mortgage on the property during a transfer of equity?

The mortgage must be satisfied or transferred as part of the process. The existing mortgage lender must approve the transfer, and the incoming party may need to pass an affordability check or credit check.

Is it possible to sell my home without paying Stamp Duty?

Under certain conditions, such as the “no stamp duty” scheme for properties purchased before a specific date, you might avoid paying stamp duty. However, eligibility criteria are strict, and you should consult with a legal or tax professional.

What is the cost of adding someone to the mortgage?

Adding someone to your mortgage may incur additional costs from your lender, including higher interest rates for the increased loan amount. The exact costs can vary, so it’s best to discuss with your mortgage provider or a mortgage adviser.

Can I get a discount on Stamp Duty?

Discounts on stamp duty are available in certain circumstances, such as first-time buyer relief or other specific conditions. Consult with a mortgage adviser or legal professional to understand if you qualify for any discounts.

For any changes to your mortgage or property ownership, it’s crucial to seek professional advice from a mortgage adviser, legal expert, or your mortgage provider to understand the implications, costs, and process involved. They can provide tailored, impartial advice to suit your specific circumstances.

Damian Youell

Feel Free To Start WhatsApp Chat With Us...

How We Work

1: We contact you and take down your details, income outgoings, name, address etc.

2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.

3: You upload the documents and information needed via our channel our online portal.

Feel Free to Contact Us