A parent wants to know how she can help her daughter keep her home after a marriage break-up

Wednesday, 16 March 2011 12:38

Put your questions to our mortgage expert, Mike Jones, from Lloyds:

Linda asks:

My daughter and boyfriend are splitting up, but have a mortgage. We are willing to buy him out but the mortgage company say's she can't afford it on her wage but we know she can. We are willing to be guarantors for her but we don't want to put any more money into this. Can we do anything so she can keep her house?

Mike replies:

Hello, Linda. Your daughter should first ask her existing lender whether they are prepared to transfer the mortgage into her sole name, without requiring a part repayment to reduce the amount of loan, if you act as guarantor. As guarantor you would be responsible for the monthly payments on the mortgage should your daughter fail to make them. But as long as she makes the payments, there will be no requirement for you contribute financially to her mortgage. Your daughter’s lender should be able to direct you on this point.

If her existing lender is not willing to do that, your daughter could ask other lenders whether they would lend her the amount needed to move the mortgage (remortgage) to them – as you will appreciate, different lenders have different views on what individual customers can afford.

 If you have a question for Mike, go to the myfinances.co.uk Ask the Mortgage Expert section.

Or for more information on your mortgage options go to Lloyd's mortgage site.

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