Mortgage

[vpetite]

Can two people have a mortgage for the same address. We are a seperated hausband and wife. The original mortgage finishes next year (my husband would take that over) and I want to take out a new loan to do some improvements to the house before we sell next year. There ia a lot of equity in the house so paying back the further loan is not an issue.

[Postdog]

I'd say no because you can't have the same property as security for 2 separate loans (different people). But that said, if you have equity, you'll probably be able to raise money for what you want.

Doesn't really make sense tho. You say your husband will take over the mortgage, but then you talk about selling. Can't have both.

[Androcles]

Why don't you agree what needs to be done jointly and fund it jointly. I know you are separated, but if two of you start trying to finance different things and it goes pear shaped, you will have a terrible mess to untangle, and the only people who will win will be ther lawyers. Talk to each other and agree something mutually!

[hc4361]

If the two people own the property as tenants in common, they each own a defined share such as 50/50 or 70/30.
Then each person can secure a mortgage on their share.

[madmaggot]

When my OH and I first bought a house together we were to be tenants in common; I wanted the mortgage in my name only as he had enough cash for his 1/2 but it was me that needed the loan. The mortgage provider would only do that if my OH signed to say that he had gifted the cash to me, needless to say I would not let him do this. We ended up with a joint mortgage.
Therefore I do not think that you would be able to take out two seperate loans.

[hc4361]

madmaggot, many married people own property as tenants in common.

[whitelady]

It is almost impossible to get any type of personal loan or additional mortgage at this time. The only way round it would be to go to a new mortgage provider and re mortgage again as joint and both pay your share of the loan according to how much you each want to take . Say you now owe 30.000 which he will pay and you borrow say 60.000 and you pay half each, that way you could do your improvements . I was told many years ago not to spend money on improvements as you never get it back when you sell the house, OK paint and paper maybe replace tiles but no major renovations or extensions as it's money down the drain! I just moved house and took what I got. Good luck and borrow as little as possible, it all has to be paid back WITH INTEREST.