How to buy out your partner in a mortgage

Any general questions you might have in regards to loans and finance.
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Otto Dargan
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Re: How to buy out your partner in a mortgage

Post by Otto Dargan »

Hello batman. Welcome to the forums.

You can buy out your partner from your home loan but you'll need to prove that you can qualify for the mortgage on your own. This means that you must meet standard bank policy without your partner. And yes, you'll need to refinance the loan to a new loan that's solely in your name.

If you can prove that, then you may be able to: Please note that your partner must agree and sign a transfer form.

Cheers,
Otto
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts

User avatar
Otto Dargan
Mortgage Specialist
Posts: 7730
Joined: Sat Sep 06, 2008 5:55 pm
Location: Sydney, Australia
Contact:

Re: How to buy out your partner in a mortgage

Post by Otto Dargan »

Hi geckolover,

As with any mortgage application, if the bank valuation comes in low, then the loan may be declined. This means that you may be unable to complete your divorce settlement and successfully divide the property.

Since a bank valuation is out of your control, it can be a good idea to get a experienced mortgage broker to order valuations with several lenders before submitting a full application. This way, you can go with the lender that has the most favourable valuation.

This is great because in the past, the only way to obtain multiple valuations was to put in multiple applications at the one time. If you'd attempt to do this today, it's highly likely that you will fail the credit score of all lenders that you applied with, because of too many enquiries on your credit file.

You can check out our website to learn more or speak with one of our credit specialists directly by calling 1300 889 743. You can also enquire online if that's more convenient.

Cheers,
Otto
Otto Dargan
Mortgage Broker
P | 1300 889 743
Home Loan Experts

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