Mortgage capacity report
Outlines the possible mortgage amount and type you may be able to afford after a divorce or separation.
Understand if you can obtain a mortgage as a single individual or with a new partner;
Provide assessment of your capacity to buy out your ex-partner’s share of the property;
Help to understand your financial position in order to obtain a fair settlement in court;
Can save time and therefore may reduce legal fees.
Purpose and Benefits
Information required to produce a Report
Proof of ID: Passport/Driving license/Bank statement or Utility bill with your current residential address;
Current mortgage information: total amount left to pay, property valuation and term;
Details about your income: salary, bonuses, commissions, benefits and any other sources of income;
Details about your expenditure: rent or mortgage payments, utilities, credit card payments, personal loans, car repayments, and any other regular expenses;
Information on any other assets you hold: investments, pension or savings you may have;
Your liabilities, including any outstanding debts (apart from the mortgage) or loans;
Information about financial dependents, including parents (if dependent);
Other relevant information: such as upcoming large expenses or changes in your financial situation.
The Process
Set up a secure online account to complete the fact-find;
Revision of the fact find by the advisor and assessment of the type of the report (see “Costs and what is included” below, for the types of the reports available);
Invoice issued;
Capacity report issued within 48 hours after payment is received.
What is included
No mortgage capacity assessment report
Confirmation of your nil mortgage capacity
Outlining key reasons for nil mortgage capacity
Single mortgage capacity assessment report
Maximum borrowing you can achieve obtained from a comprehensive list of lenders representative of the whole of market
Outlining costs associated with the above
Provide a view on affordibility of the maximum borrowing
Example mortgage illustration that will provide information of the key features of the loan
Joint mortgage capacity assessment report
Will have the same features as the single mortgage capacity assessment report but will be produced for two parties
Additional scenarios
There can be variations in outcomes, depending on the financial settlement. We can help generate additional scenarios to explore how the mortgage capacity will be affected, depending on the outcomes of the divorce.
Your initial report will feature one scenario. You and your solicitor might want to have the option to include extra scenarios tailored to the unique circumstances of your divorce or separation proceedings.
Typical factors that might have an impact on your ability to borrow:
The size of the mortgage deposit
Child custody, childcare costs and maintenance payments
Benefit payments
Working arrangements