Family Home Declaration query

Hi,

I have a query on behalf of a friend of mine who is re-mortgaging his property with a bank from a B.S. and also topping it up to release some equity. He bought his home early last year and his father had to go as joint signature on the mortgage, due to his salary level.

Now that he is re-mortgaging now, his solicitor has requested that his mother completes a Family Declaration Form (not done last year with same solicitor). What would be the reason for his mother completing this form now? Our understanding is that his father may have to fill one out to declare that he would not use my friend's house as collateral and/or sell without consent.

Thanks for any advice,
Mr.White

See (including some links back to AAM).

Hi,

I had found those links already, and can understand the need for a declaration form with married couples and partners buying places togther, but do not understand the reasoning behind a guy's mother needing to complete one, when she is not even on the mortgage deeds, etc.

Thanks.

Sorry - I misread your original post. I presume that the parents live in their own PPR and that the son's PPR is separate? In which case it seems odd to have to sign a family home declaration for a property that is not the parents' family home! At the very least they should question the solicitor on this. Maybe the solicitor is confused or simply wrong?

Yes, it's his own first home, with the father lending his signature to satisfy the banks. It does seem unusual when reading about other situations of when this declaration is used, so will advise him to question the need. It doesn't make sense at this time.
Thanks for your help.

The only thing I can think of is that the father is acting as guarantor. If this is the case, in the event that the son misses payments or stops paying altogether, the bank comes after the father. If his only asset is the family home which is jointly owned, the bank needs the mother's signature to guarantee they'll get their money. Just a thought!

If the son is remortgaging and the father is on the mortgage-sanctioned in Joint Names, all parties to the mortgage and any spouse/partner will have to sign the Family Home Declaration- Requirement of the Family Home Protection Act 1976.