If you have a joint mortgage with your now ex-partner, it's not always clear what you should do. Here's everything you need to know.
D-I-V-O-R-C-E
Once the relationship has come to an end, there are two options. The obvious option is to sell the property, split the proceeds and go your separate ways.
However, if you have put a lot of time and energy into decorating and developing the home, this may be too much of a wrench.
So what is the process if one of you wants to buy out the other partner and keep the house?
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Reapplying for that mortgage
Transfer of Equity
If the lender does agree, a 'transfer of equity' - alternatively known as a 'transfer of mortgage' - will need to take place. The good news is that your current mortgage deal can usually stay in place.
In order to buy out your partner's share of the property, you'll have to get a valuation. This may be done on a drive-by basis, rather than a physical survey, though there is a financial sting in the tail, as a full valuation fee will most likely be charged.
An alternative option is to simply remortgage, particularly if your mortgage is free of any early repayment charges, as the transfer can take place at the same time.
While you would still face the costs of the 'transfer of equity' - which is generally around £200 plus VAT - the survey and other remortgage fees would be free, as with other remortgages. Remortgaging is also likely to be quicker.
The final option is that of a guarantor mortgage, which would require you to find somebody - most likely a parent or sibling - to guarantee you will be able to meet your mortgage payments. Then, if you don't meet your payments, the lender could start proceedings against your guarantor to recover your debt from them.
Speak to your lender