I have an individual IVA (just me not my wife) and currently live in Privately rented housing.
My wife's family have given my wife some money for a deposit for a house and she has been accepted for a mortgage for a shared ownership house.
55% share on mortgage and rest owned by housing agency.
The mortgage would be fully in my wife's name but I would be obviously paying towards it as I would be living there.
Would this effect my IVA, as in would equity need to be released from it in the last year?
The mortgage would be all in my wifes name but I didn't know whether because we are married and I would be paying towards the monthly mortgage and rent, whether they would try and say that I have some ownership in it and thus must release part of it?
Any help gratefully received
Currently in an IVA. Not a Financial Professional, any comments expressed are just my opinion.
I would suggest that you prepare a note of intent between yourself and your wife, on the basis that she is buying the property in her own right, and that you are to have no interest in the property either from a legal or beneficial perspective.
Sounds like a great way to get on the housing ladder, and what great relatives to enable you to do this.
You would simply need to write a note between yourself and your wife, confirming that she is buying the property in her own right, and that it is not intended for you to ever have any claim over the property, despite the fact that you will be contributing towards the costs of the mortgage and running costs.
This safeguards your wife's relatives' investment, from any future insolvency or marital breakdown. It can be as simple as you like, but get it witnessed by a couple of independent parties.
No - your wife's ownership of a new property will not affect the IVA. Hypothetically you would have to pay for somewhere to live, if you were not living with your wife, and those costs would need to be taken into consideration during the IVA.
Sound advice. You will probably need to sign a declaration to confirm that you won't have any interest in the property for the purposes of your wife's mortgage lender in any event.
Specialist Mortgage Advisers. Highly Commended at the British Mortgage Awards.
