Joint Borrower advice please

[vegetablelasagne]

Hi,

 

I wonder if anyone could help with the two following questions. Like many people I'm racking my brains to get out of the rental trap having just been given notice again.

I've been looking into JBSP schemes (Joint Borrower Sole Proprietor). I have a small deposit.

I have two questions:

1. Does a joint borrower have to live in the UK? I'm guessing this will be a yes - but I thought I'd ask as my ex - who pays maintenance to us, lives in Holland and we thought as he's paying that, he might as well chip in on a mortgage instead.

2. If Joint Borrowers do have to live in the UK - how quickly can I buy them out after buying? I have a friend who is willing to be a joint borrower (but wouldn't live at the property), but she doesn't want to be on the deeds for long.

Thanks.
 

[AndyOrch]

As far as I'm aware they dont go on the deeds.

 

https://www.google.com/search?q=JBSP+schemes+(Joint+Borrower+Sole+Proprietor)&oq=JBSP+schemes+(Joint+Borrower+Sole+Proprietor)&aqs=chrome..69i57&sourceid=chrome&ie=UTF-8

 

Andy

[vegetablelasagne]

Thanks @Andyorch - do you know if their credit rating would be effected?

I don't understand why everyone isn't doing this - there must be a catch?

[AndyOrch]

Have a read of the links above...I haven't looked at the finer details...but im sure your answer will be there.

[vegetablelasagne]

Thanks - just doing that now - but my friend's name would appear on the mortgage (I think that's what I meant) - I was wondering how quickly I could get her taken off the mortgage?

[vegetablelasagne]

...it's OK - sorry - your links have given me a few of the answers.
Thanks @Andyorch

[AndyOrch]

For a JBSP mortgage, most lenders will need to be satisfied that you, the buyer, will eventually be able to make all of the repayments yourself, meaning that an important part of the assessment process is demonstrating that your income is likely to grow steadily over time. In fact, about half of all applications for JBSP are turned down because the buyer has not been able to demonstrate this likelihood of income growth. 

I NO LONGER NEED THE HELP OF MY FAMILY: WHAT NOW?

Once you've got to a position where you are financially secure and can definitely make the repayments on your own for the foreseeable future, you can remortgage to release your family members from the legal responsibility for your mortgage. You'll be able to do this either with the same provider or a different one. Do bear in mind that the remortgaging application where you are going to be both the owner and the mortgage holder will now only take your finances and spending into account. 

 

https://www.realhomes.com/advice/joint-borrower-sole-proprietor-mortgages-could-one-help-you-own-a-home

[vegetablelasagne]

...PS - @Andyorch - your donate button doesn't work - not sure if it's supposed to

[AndyOrch]

You click the writing surrounding it 

 

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