Negative equity forces couples to live together

Charity officials have recently stated that there are many estranged couples that are being forced to live together under the same roof as a result of the property still being in negative equity, which means that they are unable to sell their home and move on as a result of the relationship ending. Read more

Tags: negative equity, charity, partner, finance, Homelessness

Joint mortgages with strangers are ‘risky’

Entering into a joint mortgage with someone you do not know is “extremely risky,” say mortgage experts.

Bestinvest has said home buyers could also find themselves “in all sorts of problems” if they enter into a mortgage with a friend who they fall out with.

Peter O’Donovan, mortgage manager at Bestinvest, said: “If you buy a house with someone and you don’t know their credit record, that’s even worse because you are jointly and solely liable for that mortgage. If the other person stops paying you have to continue.”

He added that there is no protection that people entering joint mortgages can take out to protect themselves against defaulting if the arrangement does not work.

According to research conducted by Scottish Widows in July 2007, joint mortgages are becoming popular among graduates who find that they offer the only way onto the property ladder.

Of those graduates surveyed 63 per cent purchased property with a partner.

Tags: record, partner, loan, property ladder, way, friend, manager at Bestinvest, Joint

Life Insurance and your Home Mortgage

When a loved one dies, it is upsetting to everyone involved – friends and family members. But what could be more upsetting to the spouse or children is the financial strain some deaths can leave behind. If the family home is mortgaged and the main income-generator passes on, how will the rest of the family survive and pay the mortgage? Practical financial problems are something a family in that situation just don’t need – and that is where life insurance comes in. Read more

Tags: coverage, In essence, home mortgage, life insurance, rest, mortgage lender, partner, upsetting