joint purchase buy out

sloggi

Registered User
Messages
185
Hi Guys,

know this question has been done to death in various different ways but no opinions reflect my own situation so far!

My sis and I bought a house 3 years ago. At time our mum also went on mortgage application but not on deeds. Now I am relocating and sis has stated a preference to buy me out. Guestimating it, the equity stands at approx €80k. Hence she hopes to pay me half of the equity, and we jointly pay associated legal bills.

Problem, don’t think she'd get mortgage in her own right for current mortgage amount plus my half of equity. Could mum stay on the application for remortgage and I bow out, and then take my name off the deeds? Or could we both remortgage, releasing equity, and then I sign mortgage over to her in a few months and take my name off deeds? Mum is willing to remain on the application if necessary, but at moment we'd have enough earning power to remortgage without her. But am I being naive thinking that lending agency might allow option 2, i.e. me signing over mortgage??

All thought appreciated! Have my eye on another property so need to get cracking to get deposit!!!
 
Lenders will always want proof of sufficient income to cover the repayments (stress tested at 2% over current rates) so if your sister doesn't earn enough your mother could stay on the mortgage to cover the shortfall. You can't just take your name off the deeds and mortgage.

Sarah

www.rea.ie
 
Back
Top