transfer of equity following divorce

[bm6964]

Hi, we are now divorced and have a consent order detailing the percentage split of our property. Approx 60/40. There is a small mortgage to pay off and approx £300k equity. The issue being that at the moment we are struggling to sell the house due to market conditions. It may be that my ex even ends up staying there with the children (which im happy to happen). My question is as follows :

I wish to purchase myself a house now but whilst I am linked to the joint mortgage I just can't raise enough money (this is forgetting about any equity I have tied up in the house).
If I wasn't showing on my current mortgage I would be able to purchase a new house. I was considering getting my name taken off the mortgage (assuming her lending capability is adequate) but am concerned my name would also have to come off the deeds? Is this the case? If so then how safe would my 40% equity be in a house where I don't appear on the title deeds. The split is agreed in a consent order but I don't want to end up pursuing this legally if she decided not to sell and give me my equity. It sounds fraught with issues but seems my only current option to prevent me losing the house I want to buy and get out of rented accommodation?

Hope this makes sense and I appreciate there maybe lots of variables to consider.

Thank you in advance to anyone taking their time to respond

[atticus]

Why would you want to cease to be a co-owner and yet claim 40% interest in the equity?

Would yoiur 40% interest be safe? Answer: no.

[bm6964]

Why would you want to cease to be a co-owner and yet claim 40% interest in the equity?

Would yoiur 40% interest be safe? Answer: no.

thank you for your response.

yes I would still need to claim 40% in the future and this is what concerns me.
there is a consent order in place detailing that I am entitled to 40% but is this still a valid legal document if im off the deeds?
and does my name have to come off the deeds if I come off the mortgage?
thanks

[bm6964]

and I want to get off the Mortgage to increase my borrowing capability on another property I want to buy. as im currently on a mortgage its precluding me from doing this

[atticus]

Do you actually understand what "get off the mortgage" means?

A mortgage is a loan. You and your ex-wife borrowed money from a bank or building society or other lender. You and your wife are liable to repay that loan: that is what you both agreed with the lender at the time. A mortgage is simply a loan secured on property. As far as the lender is concerned, you are liable to repay the money you borrowed, with interest.

You can "get off the mortgage" by repaying it. Usually that comes from selling the property.

[sandfordboy]

Absolutely agree with all that Atticus has said. Do not deviate.

[bm6964]

Do you actually understand what "get off the mortgage" means?

A mortgage is a loan. You and your ex-wife borrowed money from a bank or building society or other lender. You and your wife are liable to repay that loan: that is what you both agreed with the lender at the time. A mortgage is simply a loan secured on property. As far as the lender is concerned, you are liable to repay the money you borrowed, with interest.

You can "get off the mortgage" by repaying it. Usually that comes from selling the property.

I totally understand what a mortgage is. the mortgage will be repaid through the equity when the house eventually sells and I will carry on paying my portion of the mortgage. again, it is way of me obtaining another mortgage on another property which I can't do whilst tied into joint held property / mortgage?

[atticus]

That is a question for a mortgage broker or financial adviser.

[dslippy]

BM, you are missing the point. To clear your liability under the mortgage, the existing loan must be repaid. Until it is repaid, your name will stay on the loan.

[bm6964]

BM, you are missing the point. To clear your liability under the mortgage, the existing loan must be repaid. Until it is repaid, your name will stay on the loan.

not if its off the mortgage??

[atticus]

Perhaps you can explain what you mean by "off the mortgage". What part of what has been said earlier do you disagree with?

To me, your continued use of those words suggests a serious misunderstanding of the position.

[bm6964]

Perhaps you can explain what you mean by "off the mortgage". What part of what has been said earlier do you disagree with?

To me, your continued use of those words suggests a serious misunderstanding of the position.

remove my name from the mortgage with the mortgage company. The mortgage remains in ex partners name and she takes on responsibility for the mortgage until the house is sold (all with her permission). I am no longer listed as being on that mortgage thus enabling me to move forward with another mortgage.

[atticus]

You may do that if the lender and your ex agree. Otherwise I cannot see this being possible. Nor can I see why the lender should agree to release you from responsibility without being repaid in full.

Can your ex remortgage, borrowing money from another lender in her sole name?

[bm6964]

You may do that if the lender and your ex agree. Otherwise I cannot see this being possible. Nor can I see why the lender should agree to release you from responsibility without being repaid in full.

Can your ex remortgage, borrowing money from another lender in her sole name?

yes she can remortgage it in her name. its referred to as transfer of equity but I was simply asking if my equity would remain safe.

[atticus]

That question has been answered: post #2.