Author Topic: Major mortgage dilemma (Read 1172 times)

joanna1 · « **on:** November 17, 2011, 01:48:02 AM »

Hi all, how would you get out of going on a mortgage with someone?

MissThang · « **Reply #1 on:** November 17, 2011, 02:20:31 AM »

Can you tell your family that you work for L'oreal on a self employed basis, something to do with commission and sales, and you've been diddling the taxman? I think mortgage advisers have to report stuff like that, so it would be believable that you didn't want it investigating.

There's always the high-drama route, faking a sacking etc, but if you can come up with a convenient lie it will be easier.

joanna1 · « **Reply #2 on:** November 17, 2011, 02:26:29 AM »

Thats a good idea hon but they'd never believe me

NorthernIrishNatalie · « **Reply #3 on:** November 17, 2011, 02:29:02 AM »

I'm totally crap with anything about mortgages etc so I can't advise you a way round it however you could pretend you were sacked a while ago and just didn't want to say anything untill you sorted a new job.
Natalie Xx

joanna1 · « **Reply #4 on:** November 17, 2011, 02:38:55 AM »

Can't really say that eirther

kimba · « **Reply #5 on:** November 17, 2011, 05:39:14 AM »

Someone may come along to correct me but someone on a 'training period' and not even 2 months in would surely not be given a mortgage

Good credit score or not?
If I am wrong, this could at least be your excuse?

Strawberry · « **Reply #6 on:** November 17, 2011, 08:28:17 AM »

If I remember rightly it is illegal to obtain a mortgage by deception, ie it's fraud and a lady dominatrix was convicted of this last year (or might even be this year) when she didn't quite reveal EXACTLY the nature of her occupation. She didn't default or not keep up payments, but was still charged and I think she lost the property including any equity built up.

ladyofthemansion · « **Reply #7 on:** November 17, 2011, 09:52:50 AM »

You would become liable for any arrears too. Then what if you wanted your own mortgage in the future?

ParisB · « **Reply #8 on:** November 17, 2011, 12:21:16 PM »

just tell your sister you dont want to do it simple tell her that if she cant afford it on her own then she cant afford with you regardless

Personally i would never ever get involved with anything that involves money guarantees and familie members its generally a recipe for disaster while im generous with my family by way of holidays that im happy to pay for and take nieces and nephews on grown ups have to fend for themselves

You would be jointly liable for the mortgage as well so it not just a case of puttin your name to the documents
if your sister cant make the payments then you have to make them if you dont make them then you and your sister will have the house repossed
even on a joint income of 32 k its not a lot to get a mortgage in this day and age
has she worked out what the repayments will be on interest only or repayment and what happens when the rates go up in the future they are incredibly artificially low at the moment so at some point they will rise and the mortgage can then tripple overnight

do you /your sister have required 20 percent for the deposit which is generally upwards of 20k cos that what you will need if your not squeaky squeaky clean
if you have a crap credit score you wont get a mortgage at present anyway you need a very very good credit score and i do mean good ie no ccj no late payments of bills credit cards ect

MissThang · « **Reply #9 on:** November 17, 2011, 01:05:54 PM »

You're possibly going to have go down the 'partial truth' route, tell your sister a half truth, but swear her to secrecy. Certainly if your family are like mine, they'll be arsey with you if you just refuse to co-sign the mortgage. And like the others said, if the broker does manage to get it though (cos god knows, they're unscrupulous), you could be in an 'obtaining money by deception' situation.
Perhaps tell your sister that you're in debt up to your eyeballs, you've got a payment plan, but you're too embarrassed to let the rest of the family know.

I'm pretty sure that, even if all was legit, you'd struggle to get a mortgage if you'd only been there 2 months anyway. Under employment law, you can be sacked in first 3 months for absolutely no reason with no option to appeal. So if you were going to stage a sacking, you could just say they'd taken too many trainees on and you didn't win. TBH, you need to bin this L'Oreal business off anyway, otherwise you'll be spending half your money on 'free samples' to give the women of your family

ParisB · « **Reply #10 on:** November 17, 2011, 01:18:40 PM »

i did say it in my other post but im going to highlight it hear You would have to pay something if she defaults you are both equally liabalbe for the amount owed so if your sis dose a bunk /cant afford it then you are liable for the whole amount regardless of what you put in your name is on the mortgage as a joint owner so they will chase you if sis dosnt pay it
also on 9k a year ( im not being rude ) but she seriously cant afford a mortgage let alone a buy to let property
Buy to let require hire deposits often 25 - 40 percent of the asking price and its always a higher rate on the mortgage base rate
if she really wants to buy a property then tell her to get her wages /salary up to at least the national level of income which is around 25 k before she even thinks of doing it

also as its a buy to let you and your sis as landlords would have to have landlords insurance have electrical and gas certficates every year or 2 years ect
and what happens if the amount you get in rent dosnt cover the mortgage - you have to pay it otherwise it goes into arrears

also if your sister is married then you could have problems if she got divorced with regard to her half of the house being an asset so it could be sold /remortgaged in order to buy out her husband ect

Quote from: joanna1 on November 17, 2011, 01:48:02 AM

My sister has just asked me to put my name down on a buy to let mortgage. She only earns 9k a year and the mortgage requires singular or joint earnings of 25k plus. I wouldn't have to pay anything its just a case of putting my name down to get the mortgage (jumping through a hoop basically). The humoungous problem is though that (obviously) I don't work at L'Oreal and I can't even get a mortgage myself!

Jo Xxx

EmilyJones · « **Reply #11 on:** November 17, 2011, 01:47:53 PM »

I have to agree with Paris - isn't there a reason why nobody could possibly get a mortgage on a salary of �9,000pa? $:-\$ Because any of the things that Paris describes above could go wrong, and there are all those additional costs. At the end of the day, the first tenant your sister gets could complain about the shower, the boiler, the washing machine, the carpets, or other stuff - my dad has been a landlord and says the amount of things that come out of the rental income for whatever reason are such a pain and it's actually quite a challenge to cover every mortgage payment, let alone make a profit. And while you might be fine the first 12 months, the next year could be the one where the boiler inexplicably implodes!

I think a one-off gift or a loan are one thing between family members, but on-going official financial obligations to actual banks with fuzzy 'terms' like "I'll pay it all, you just sign your name on this form, ta!" are quite different. I may sound like a total sociopath here but I actually don't think it's appropriate to put a family member at risk for your own borrowing, so I'm a bit surprised your sister asked.

I looked into getting a mortgage recently but gave up pretty quick because A) you need massive earnings and a huge deposit to get a decent mortgage, it's quite ridiculous these days! and B) the rates didn't look very good and I'm just not in a steady enough position right now to take a risk borrowing more than a tenner. Things can change so easily in life and you have to seriously dedicate yourself to paying off a mortgage if you get one, so you have to know you'll be happy to focus on that for the next 20-30 years, sacrificing all sorts of other stuff.

Sorry - I know that's not much help and I'm sure your sister has done plenty of thinking etc, but I think it's honestly fair to tell her that you're not even 100% about getting through the training period at your job, or that you might want to take a hiatus from work and travel/re-train/whatever in the next year or two, so you're just not in a position to be liable for someone else's mortgage right now.

joanna1 · « **Reply #12 on:** November 17, 2011, 03:29:15 PM »

Thank you all for taking the time to reply, really appreciate your advice

Just telling her 'no as I don't want to' isn't really an option as she'd do anything for me.

Lady_Lust_XXX · « **Reply #13 on:** November 17, 2011, 03:48:05 PM »

Sorry youre in this dilemma - we tie ourselves in knots sometimes because we dont want them to know what we are up to.

I think the 'probationary' period in your job is probably the best idea to fall back on. Might be a good idea to 'fall foul of bad times' and 'lose your job' .......... then pretend to be out 'looking for work' all the time after that. This may give you more time to think up a better excuse for 'not being able to help out'.

Good luck.

ParisB · « **Reply #14 on:** November 17, 2011, 04:03:07 PM »

the main thing is dose she have a very large deposit of at least 15 percent min maybe 20 -25 percent if she dosnt then it dosnt matter and if she dose she could probably go self certified and wont need you anyway self certified is where you simply state the income you want and as long as your credit score is good and you have the deposit then you will get the mortgage although these are hard to get now 3 years ago they were like buy one get one bloody free but now they are a lot harder to obtain

but honeslty if your credit rating is shit then it wont matter anyway as it wont go through anyway and it could damage her credit rating

if your really that bothered go to experian or call credit.com register and get your credit score if your under 750 -800 a mortgage is a bit of a no no in this day and age they really want you like the virgin mary squeaky clean and virtuous

it might sound like im being hard nosed but when it comes to money and other people im tighter than the proverbial scotsman ( sorry to any scottish people on this board )
but if she wanted to buy a house then she shouldnt have gone self employed she should have stayed employed she is now suffering for her choices which she made and serioulsy 9k is definatly not a wage to be thinking about getting a mortgage on

if she has done up properties in the past then i would assume that she made money from so she should have a deposit or some savings , then she wont have a problem getting it on her own back she needs to ask the broker about going self certified - if she hasnt got a deposit or large savings from previous buy to lets, then she made a mistake somewhere and is not a a good bet

and why your credit score is crap is nothing to be ashamed of most people are in this day and age its cos of the recession

just tell her her job isnt that secure that they are talking about laying people off in the new year - and that you dont want to do anything illegal ie fake wage slips and lying ect just be firm and say no l
or lie and say your basic is 10 grand or then you get commision

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Author Topic: Major mortgage dilemma (Read 1172 times)

joanna1

Major mortgage dilemma

MissThang

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joanna1

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NorthernIrishNatalie

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joanna1

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kimba

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Strawberry

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ladyofthemansion

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ParisB

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MissThang

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ParisB

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EmilyJones

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joanna1

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Lady_Lust_XXX

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ParisB

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