transfer the mortgage from joint to sole - HELP!

hello all..

My divorce to my ex was finalised in oct 08 and I have been trying to sort out the property since. We signed a Consent Order (but has not made it to court yet) stating that she would sign away all equity and title rights in return for me taking over the mortgage and secured loan liability. The problem being – I cannot get the mortgage transferred into my own name – despite being offered a remortgage by another provider (which has been halted by the second charge). My affordability is not in question – but the mortgage lender is being overcautiously inflexible about it!

The ex wife ran up many debts (some with intention I believe) and is now filing for bankruptcy – she is now on state benefits and wants to be released from the mortgage so she can get council housing with her newborn child and new partner. She has been advised by her legal representation that if she was not on the mortgage, I would be able to officially ‘evict’ her, making her homeless, making her eligible for council housing. She currently resides with her new partner in his council supported family home and has done so for around 6 months but she is threatening to move back into my home as she feels I have made no attempt to release her name from the mortgage, halting her plans to be rehoused. In her view, herself, new partner and their baby may as well move into where I live and continue to live for ‘free’ as I am totally liable for the mortgage due to her unemployed status. I have no protection of this until mine is the sole name on the mortgage. As you can imagine, this is a very traumatic situation for me to be in and I do not see any other solution if this fails other than being forced to hand back the keys and take voluntary repossession. I am aware of the effect of such action on my future credit scoring, and desperately do not want to take that route as I have never defaulted and I am not in debt.

I pay EVERYTHING, and she has told me that they intend contributing nothing towards household finances. She is no longer my spouse and by law no longer my financial responsibility, although because her name is on the mortgage – it gives her the right to reside there and me pay for the pleasure of it! If she were working and able to contribute towards her share of the mortgage and loan either herself or with her partner, I would move out, continue to pay my share, leave them to it and sell it as soon as the market rises BUT, even though her partner is earning, they have refused to pay so if I decide to move out and leave them to it – and I continued to offer to pay 50% of the loan or the mortgage– we are joint and severally liable, leaving the default payment credit judgements going against me and not her.

The only advice my solicitor can give me is ‘sell the flat’ or ‘hurry and get her off the mortgage’! If I could sell – I would, but unless house prices rise again soon – I will never be able to sell it for enough funds to cover both the mortgage and to repay the secured loan.

I guess my question is HELP! Is there anything I can do?

Hi,

Love the name but cant see how u manage it with such a selfish, sneaky ex wife and useless sol advising you to sort this out yourself ......both of them being financed by you!!

Can you not apply for mortgage holiday/reduction in the short term....and in the interim get a sol that will get this consent order into court for you?

As for your x returning home, I take it the child is not your responsibility, if so she has made her bed elsewhere let her lie in it and get ur useless sol slap an injunction on her!

Sorry, subtle doesnt cut it with these awkward exes n xtbs.

Good luck

Elle x

Firstly, the Court has no powers to order a lender to transfer a mortgage in joint names into the sole name. So on that one, I think you're stymied.

Secondly, the problem you mention mainly affects husbands in a different way. That is, the property is transferred to the wife and the husband remains liable on the mortgage. This can stop the husband getting a new mortgage on his own account and it can mean that the husband can find himself liable if the wife defaults.

But in your case neither of these considerations applies. You are or soon will be the sole owner, you will be responsible, you say, you can afford it, so you are in control, yes ? Does it matter to you if your wife could be sued if you don't pay ?

Please let's not confuse the issue of who owns the property with who is liable on the mortgage. A person is liable on a mortgage because he or she covenants to repay the principal sum and interest. You can be liable on that covenant under simple principles of contract. Title has nothing to do with it.

Let's get a few things clear, can we ?

AT THE MOMENT she is still a joint owner, and has ( in theory )a right to remain there as a joint owner. She does not have such a right AS YOUR WIFE because, you say, she is no longer your wife. The fact that she remains liable on the mortgage
does not, of itself, give her rights of occupation.

So what matters is that she's a joint owner. When the consent order is signed and the property is transferred, that will end, yes ?

She does NOT have the right to bring her boyfriend and child with her.

All you have to do is

(a) expedite the Court order
(b) expedite the transfer.

Then she loses her status as a joint owner and you can legally
exclude her. If that is what she WANTS to happen, then just get your heads together and get that consent order signed. Get your transfer prepared and signed a.s.a.p. after the order.

Simple, isn't it ??

I may add that I have some reservations about the advice given to your wife. But that isn't your problem. As far as you are concerned, sir, the solution stares me in the face.

Mike 100468

Hi there,
thanks for your guidance. I have spent the last couple of weeks trying to get her off the title of the property with the intention to evict her. The problem being that there is a second charge in her name (with a large high street bank) and they have refused to allow a title transfer for this reason.

so i feel pretty stumped now!

- solicitors won't expedite the consent order as they say it cannot be honoured as i have failed to release her from the mortgage and secured loan (this was the basis of the consent order)
-remortgage has failed because deed of postponement refused by second charge
-title transfer refused
- transfer of equity to my sole name failed by current mortgage provider


We are amicable and can sit and discuss ways round this (maybe because it is mainly in her interest) but i really have no idea where else we can go other than to sell - but when i can pay for everything (and the mortgage is cheap as chips at the moment), it seems crazy to give up my home make MYSELF homeless so that she can achieve HER goals.The overall picture that i want to try and achieve is to live here until the house prices rise a bit so that i can pay off much of the 2nd charge and get free of this whole nightmare!!!

Does anyone know of anyway that a tenancy agreement/injunction/civil agreement/ legal process etc would be available which under the circumstances would allow her name to remain on the mortgage and title deeds but that i indemnify her in some way for the two debts (mortgage&2nd charge) in exchange for her giving up temporary tenancy rights being that she cannot and will not contribute to the finances?

on a final note, can anyone advise if there is anything i could do to try and reduce the cost of the second charge being that she is in the process of bankruptcy - is joint and severally liable reversible in any way now we are divorced?

oh well - on with another day!

Hi

I know your post is from some time ago, but I wondered if you made any progress with your situation? I seem to be in a similar situation, remaining in the property whilst my husband is living with his new partner. The property is in negative equity if you take into account the joint mortgage and joint second charge, and my husband is keen to sign everything over to me so he can progress his bankruptcy.

I am not able to remortgage, I don't want to sell, and I am worried the mortgage company will refuse the transfer of property. Does anyone have any advice in this situation, can appropriate wording in a consent order remove my husbands interest in the property until such time as I am able to remove his name from the mortgage?