joint application -deeds

[tali122]

friend of mine has made a joint application with his brother for a mortgage -which has been accepted(the brothers application has been included to merely increase my friends borrowing amount) and the brother has no intrest in the property and will not be contributing any mortgage payments or living there), but im told the brother will be on deeds- whereas my friend would like to put his wife on deeds /land registry, i ve read a few previous posts here on this and ive ascertained that it is the land registry that needs contacting, and also that some members here have claimed they have a joint application with a single name on deeds - so what is the exact procedure?-can the brother simply choose not to be on deeds or is it a legal process involving solictors and the mortgage lender?

[buildersmate]

As you have read here before, deeds are irrelevant. The Land Registry property title takes their place. The Land Registry will do what they are told to do - provided it doesn't compromise the record of who holds the title. The issue will be with the mortgage lender. What your brother is doing is potentially overstretching himself - its for a good reason that mortage lenders have rules about much much money they will lend versus the capacity of the borrower to pay back. They will want to understand why a 'borrower' appears not to want to have a financial interest in the house he is buying.

[Golden Shred]

The mortgage lender is the sole decider. The entire proposal should be submitted to the lender who will unilaterally decide what is acceptable.

[tali122]

thanks- so would it be easier to add his wifes name on the deeds instead?, (meaning 3 people listed on deeds)

[mark118118]

first of all his wife should have made the application with him instead of his brother.They need to think about several things one is that because he'll be on the deeds hes entitiled to half no matter how much hes put towards to it, second is they need to look into whats called a TENANCY IN COMMON this is were, when the house is sold each person only gets back the percent they put in which will stop the first issue and third is if they've already gone through with it then they will probabley need to sort out a contract because if they ever fall out the brother could take the other one to court for half which he would be entitled to.mark

[Golden Shred]

No definite answer(s) to your question(s) can be given through AnswerBank. The conditions upon which a mortgage is set up, whose name appears on what, etc, etc are at the sole discretion of the lender, nobody else. They will arrange it in such a way that in the event of a default in re-payment they can obtain possession of the property with least trouble and sell it off to get their money back. They are the ones that decide. The lender is by no means bound to agree, but should they do so whether your friend and his tribe hold the property as a joint tenancy or TIC may be left to them.