I bought a house 8 years ago with a girl. We have a cohabitation agreement which states I will pay 2/3 of the mortgage and she will pay 1/3, but our bills are split 50/50. If we split up I am entitled to buy her out, but if neither can buy the other out we can sell up with 2/3 coming to me and 1/3 to her. The original value of the house was £72,500, it is now worth £175,000. I want to try to buy her out so I figure the following:
Increase in equity = @£100,000 of which she is entitled to £33,000
Current mortgage value = @57,000
That means I need to try to get a new mortgage for @£90,000 is this correct?
If it is assumed I have good credit history, no outstanding loans apart from the existing mortgage, what kind of salary ( before tax ) do I need to be earning to be able to get £90,000?
If it makes any difference, I part own another house, which is in England, but for different reasons I can't sell this house to help buy out for this house I live in
Thanks
2007-01-27
06:05:23
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3 answers
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asked by
Stephen
3
in
Renting & Real Estate