What happens if you split up and have a mortgage? How to buy your ex out of the house

In today`s world many of us encounter separation or divorce from a partner with whom we shared a property. When you have a split like this, you have a number of different options. If you are looking to stay at the family house with your ex moving out then you will often be needing to buy out your ex partner and take sole responsibility of the mortgage. Often this will be decided between the separating parties and their solicitors. There joint assets and split of joint assets will be taken in to account.

When buying out an ex from a house you will often need a new mortgage - this type of mortgage is a called a transfer of equity mortgage. PLease be aware if you are moving lender then you may have to pay an ERC (early repayment charge) but there may be a number of different options to facilitate the purchase of the family home from your Ex.

Our team at First Choice Finance is committed to providing our clients with the highest quality financial services combined with affordable low rates and are available for a variety of different circumstances. Our outstanding mortgage professionals will work with you one on one to ensure that you get a financial solution that is tailored specifically to meet your financing needs, helping you in a difficult time, during the break up of a relationship.

How to get the mortgage advice you need from First Choice Finance

Looking for a transfer of equity mortgage in the UK can be a daunting experience, we provide a guide to what you should consider when looking for a finance deal to separate your financial entanglements from your ex partner.

Interest Rates
Here at First Choice Finance you will find a wide choice of mortgage products and interest rates. The interest rate is one of the biggest factor`s in determining how much you will pay each month.

Mortgage Calculator
It is important to consider that you will be solely responsible for your mortgage as a result please ensure you are able to keep up the payments without the income from your ex. Our mortgage calculator is an easy to use tool which will let you calculate a rough projection as to what you can afford to borrow. Or if you have an idea of what you would like to borrow, it will allow you to estimate what you may be likely to pay each month. When using the mortgage calculator, always consider the worst case scenario when selecting the interest rate. This will give you a clearer indication of what you may end up paying.

Other Joint Finance
You may have a number of other loans, credit cards, overdrafts and other financial commitments, these also need to resolved as well as the mortgage, again if you are looking at at transfer of equity mortgage you may consider reorganising your other joint debts to help simplify your monthly outgoings.

Homeowner Secured Loans 9.8% APRC. Representative example: Borrow £50,000 over 180 months. 60 months at 8.1%, £497.83 pcm fixed at 60% LTV. Then 120 months at 10.1%, £539.89 pcm variable. Total payable £94,656.60. Total cost of credit £44,656.60 (including: £795 lender fee, £985 broker fee & £42,876.60 interest). First Choice are tied to certain loan providers.

Mortgages & Remortgages 8.4% APRC. Representative Example: Borrow £120,000 over 25 years at 5.99%, £778.86 pcm fixed for 3 years at 60% LTV. Then at 8.75%, £974.86 pcm, variable for 22 years. Total payable £286,416. Total cost of credit £166,416 (including: £985 broker fee, £999 lender fee & £164,432 interest)

Unsecured Personal Loans REPRESENTATIVE 49.9% APR (VARIABLE) First Choice are tied to certain unsecured lenders.

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT. Security is required on immovable property.

Late repayment can cause you serious money problems. For help, go to moneyhelper.org.uk

Established In 1988. Company Registration Number 2316399. Authorised & Regulated By The Financial Conduct Authority (FCA). Firm Reference Number 302981. Mortgages & Homeowner Secured Loans Are Secured On Your Home. We Advice Upon & Arrange Mortgages & Loans. We Are Not A Lender.

First Choice Finance is a trading style of First Choice Funding Limited of 54, Wybersley Road, High Lane, Stockport, SK6 8HB. Copyright protected.