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Removing brother from mortgage

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  • Removing brother from mortgage

    My son is buying his first house and has a mortgage offer on a five year fixed term deal with his brother on the mortgage with him. His brother is not on the title deeds. The aim is for his brother to be removed next year when my son has another years set of books to show he can afford the mortgage himself. The mortgage deed has not yet been signed by either my son or his brother and exchange of contracts has not yet taken place.
    My question is, how easy will it be for my son to have his brother removed from the mortgage next year or will he need to remortgage himself which could result in him having to pay a £10,500 early redemption fee. Also would there be any more stamp duty to pay given that his brother is not on the title deeds anyway.
    My son is holding off signing the mortgage deed until he knows this in case he would be better of renegotiating the fixed term of the mortgage before signing any mortgage deed to avoid any potential early redemption fee.


  • #2
    Lenders are never that eager to take someone's name off the mortgage. If one borrower isn't able to pay for some reason the other borrower needs to keep up with payments or pay off the loan. If lenders simply remove a name, they increase their risk and they give somebody a free “out.” Lenders are reluctant to do that.

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