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Can I add a person to the land reg without adding them to mortgage?

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zicorice | 20:10 Wed 20th Jun 2012 | Business & Finance
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Basically, a family friend is preparing to lend me a chunk of cash for a house deposit, which I am going to pay back over 5 years with some interest. The rest will be a hefty mortgage. To add to his feeling of security, can I add his name to the land reg ("deeds" in old school speak) as I don't want him to be inviolved in the mortgage?
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If you purchase the house in both names make sure it is as tennants is common and his share is only the amount he has put in ie 5%. However this could still be risky if house prices increase drastically, and things do not go well between you he would be able to claim his percentage of the total value.
A better way may be for him to register a second charge on the property for the amount he is lending you. This can then be discharged when you have paid him back.
In most cases the deeds have no meaning these days. Security for property comes in the form of a charge on the property, that would be recorded at the land registry but your main lender would probably object to another charge. You may be able to add a subordinate charge after the main charge has been added in aseparate transaction. You may be able to add him as part owner but I donlt think you really wnat that and also the main lender would have to factor all his details into their decision to lend.

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