Interest only... Honesty the way to go?

[1939]

Hi,

I own a house with my now ex. We broke up a few months ago. I moved out in October and am living with my parents for now. My ex is living in the house, she wants another year to think about things and how we are going to proceed, so we are applying for interest only payments for 12 months on the mortgage so we can keep costs down and that I will have enough to rent while decisions are made. Thing is, applying for interest only, do I be honest and tell it how it is. In theory, I have no issue affording my part of the full mortgage, but I want to rent while my ex makes up her mind. If i pay the full mortgage, I'll be stuck in my parents house for some time. Does anyone know if the bank will accept my honesty, or is better pretending that I cant afford the mortgage??? The forms I got from the bank to fill out are financial statements so I really don’t know the best way to go about this??

 

[wbbs]

How will you be able to pretend you cant afford it if in fact you actually can? It will be fairly obvious from your financial statements, I would think honesty is the best policy in this case as that way you have a better case for needing the interest only option due to increased cost for you to rent. The bank should in theory be please that both of you are dealing with it as often happens one or other wont sign forms for changes etc causing untold problems.

 

[PiedPiper]

This is the way it should go.

Find out the market rent. The ex should pay this towards the mortgage and then you both split the short fall.

Otherwise she moves out and a tenant pays rent untill house is sold to whom ever.