Applying for a mortgage application as a sole applicant while the person is married is quite common in the UK. There are several reasons why a married person may want to apply for a single mortgage application. A single mortgage application for a married applicant is possible, and many mortgage lenders may consider this arrangement. Some of the reasons are as follows:

  • Your partner may have a bad credit score.
  • If you want to retain stamp duty benefits.
  • One of the partners is unemployed.
  • One partner may have plans to use the deposits from his/her personal savings.
  • One of the partners already has a residential mortgage.
  • One of the applicants has a low annual income.

 

Post Topics- Single Mortgage Application when married in the UK

Applying for a sole mortgage when you’re married

Disadvantages of getting a single mortgage when you’re married

Joint Deposit on a sole mortgage when married.

Problems with single mortgages when you are married

Next Steps


 

Applying for a sole mortgage when you’re married

Getting a sole mortgage when you are married is a complicated process, and not every mortgage lender will approve your application. It is always advisable to contact a known mortgage broker before directly going to the mortgage lender. Your application for a sole name mortgage could be approved if you have a strong reason for it. The actual reason behind your application for a sole mortgage as a married person is necessary and must be shared with your mortgage broker. For example, in the scenario, if you want to apply for a mortgage as a sole applicant because of the bad credit rating of your partner, you may find out that you can even get the mortgage if one applicant has a bad credit rating.

Additionally, even if one partner is unemployed and has no income and the other has a decent income, there are chances that some mortgage lenders may approve your application as married borrowers. On the other hand, if you want to be a sole owner for personal reasons, we can help you approach suitable lenders that may approve your application with the most suitable deal. One of the main reasons some lenders avoid this arrangement is that you may be purchasing a marital home for you and your partner, which your future family may use. If both you and your partner are permanent residents of the UK, a mortgage lender prefers both partners to be on the joint mortgage and own the property in the joint names. A joint mortgage could also avoid potential disputes regarding the ownership of the property.


Disadvantages of getting a single mortgage when you’re married

Getting a single person mortgage and being the sole owner of a property has some demerits that you need to consider.

  • Most lenders prefer married applicants to start the joint mortgage application and become a joint owner of a property. This can lead to limited availability of lenders to approach.
  • If you are purchasing a property as a sole owner when you are married, you may not be able to afford the property price. As a joint owner, you could plan your financial commitments together with your partner.
  • When applying as a sole owner when you’re married, lenders may class your partner as a financial dependant. It can affect the amount that you can borrow for your single mortgage application. When lenders do the affordability assessments, they will assess your income and expenditure.
  • If you want to apply for a mortgage as a sole owner even if your partner is working, in this case, some mortgage lenders may approve you application. But as an expert broker we would suggest that It is better to start the joint application for this mortgage requirement, which could increase your borrow limit because of the large income.

Joint Deposit on a sole mortgage when married.

In some cases, mortgage applicants tend to use a deposit from a joint savings account of his/her partner, which can prevent the applicant from getting the required mortgage as a single applicant. It is important to note here that your partner could gift you the deposit as their share but may have to sign a waiver mentioning the rights of the property. This type of arrangement is very complicated and not also optimal to apply. There are very few chances for lenders to approve these type of arrangements. Mortgage lenders prefer gifted deposits to receive from family and friends without any ownership of that property. But there could be few lenders who can accept the gift deposits from your partner on a residential mortgage. In summary, if you want to buy a property as a sole owner, including gifted deposits from your partner, its advisable to contact a mortgage advisor before directly visiting different lenders for a suitable mortgage deal.


Problems with single mortgages when you are married

So, if you have decided to start your single mortgage application even if you are married, its important for you to know the problems that you may have to face during the whole process.

  • Deposit: If you are using a joint deposit with your partner for a single mortgage application, your partner may need to sign a waiver of rights to the property.
  • Ownership: If your partner who is gifting a deposit for the property is also living on the property, you may not find the suitable lender to lend you the loan amount. One solution is to contact a mortgage adviser who can help you with the proper financial advice..
  • Bad Credit: If you have the bad credit score and start your single mortgage application even if you are married, most of the mortgage lenders may force you to buy a joint mortgage. It is always beneficial that the partner with a clean credit rating should apply for the mortgage application.
  • Divorce or Separation: If you are interested in becoming the sole owner because you and your partner are going through a divorce, chances of your single application could increase, but you may have to provide supporting evidence of your divorce or separation. To know what are documents that you can use, please connect with the mortgage adviser.

Next Steps:

Getting the right mortgage advice before starting your application is very important. Especially if you are applying for a single mortgage application when you are married in the Uk, these type of loans are not very straightforward, so you may need to contact a financial adviser who can help. At needingadvice.co.uk Ltd, we provide suitable financial advice according to your mortgage needs