How a joint mortgage works
Both (or all, up to four) applicants' incomes count towards affordability. Both credit files are checked; one person's problems affect the application. Both are "jointly and severally liable", meaning each of you is responsible for the whole mortgage, not half.
Two ways to own
- Joint tenants: you own the whole thing together, equally. If one dies, the other automatically owns it all. Common for married couples.
- Tenants in common: you each own a share (50/50, 70/30, whatever you agree). You can leave your share to whoever you like. Usual for friends, and for couples putting in different deposits.
Different deposits? Get a deed of trust
If one of you is putting in £30,000 and the other £5,000, a solicitor can draw up a deed of trust (declaration of trust) recording who gets what back if you sell. Costs a few hundred pounds. Without it, an equal split is the default, and untangling it later is expensive and miserable.
Unmarried couples
There is no "common law marriage" in the UK. If you split, the deed of trust and the title are what count. Tenants in common with a deed of trust protects both of you.
Buying with friends
Agree in writing before you start: shares, who pays what monthly, what happens if one wants out (right of first refusal, notice period, how the price is set), and what happens if one cannot pay. Some lenders limit the number of applicants whose income they count.
First-time buyer status
For stamp duty relief in England and NI, everyone buying must be a first-time buyer. If your partner owned a flat years ago, the relief is lost for the whole purchase. Lifetime ISAs are per person, so if only one of you is a first-time buyer, only they can use theirs.
A note on the numbers. Thresholds, schemes and typical costs are correct as far as we know at the time of writing and are for England and Northern Ireland unless we say otherwise. Rules change and lenders differ. Check the current position, and get advice from a qualified broker before you commit.
Quick answers
Can one of us come off the mortgage later?
Yes, through a 'transfer of equity', but the person staying has to prove they can afford the whole mortgage alone. Lender consent needed, and solicitor's fees.
What if one of us has bad credit?
It affects the joint application. Options: a lender that is relaxed about it (a broker knows them), or buying in one name with the other's income counted via a joint borrower sole proprietor arrangement.
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