Change of borrower

A change of borrower (also known as transfer of equity) is adding or removing a borrower from an existing mortgage with The Mortgage Works. The two may take place at the same time, for example, where one borrower is replacing another.

Requesting a change

The borrower who requests the change must be one of the original borrowers who'll remain on the mortgage following the change. The application can't be submitted by the borrower who wants to be removed or added. The remaining original borrower must remain on the account for the life of the mortgage, so can't be removed at a later date.

If you want a mortgage broker to submit an application on your behalf, you'll need to complete a third-party authority form to allow the broker to deal with your account. This form will only allow the mortgage broker to have authority on the mortgage in relation to the change of borrower application.

A solicitor will need to be instructed to support the application as they'll ensure the transfer of ownership is correctly registered at the Land Registry and satisfy any associated legal requirements.

Applying for a change

The application form must be completed and posted to us. A fee of £150 is payable once this has been approved, you can either pay this upfront or add the fee to the mortgage. Interest will be charged on the fee if you choose to add it to the mortgage.

Key criteria

Applications where you and/or a family member are living in The Mortgage Works Buy to Let property without our consent aren't acceptable.

Removing a borrower

The monthly rental amount must be equivalent to or more than 145% of the monthly mortgage payment due, using a mortgage interest rate of 4.99%.
If your gross personal income is below £50,000, we may accept applications where the monthly rental amount is equivalent or more than 125% of the monthly mortgage payment due, with an assumed interest rate of 4.99%
We may request proof of rental income and/or any other personal income.
The maximum allowable loan to value (based on a current property valuation) is 80%.

Adding a borrower

The maximum allowable loan to value (based on a current property valuation) is 95%.

The above isn't a full list of our lending criteria. All applications are subject to credit scoring and an underwriting assessment.

Change of borrower (transfer of equity) application form

Complete this form to apply to add or remove a borrower.

Download application form

Frequently asked questions

Is a new valuation required? This will reveal additional content: Where possible, we’ll try to value the property using automated valuation technology.

If we can't get an automated valuation figure and decide that an updated valuation is needed, a new physical valuation inspection will be carried out. This typically happens when the automated valuation doesn’t provide a suitable loan to value ratio for the application, but you believe the property value has changed. A valuation fee will be charged for this.
Can I request a change of borrower on more than one mortgage account? This will reveal additional content: Yes, if you have more than one buy to let mortgage with us, you can apply for a change of borrower for all your accounts on the same application form, providing that the new and existing borrower details will be the same across all mortgages.
What if I have a court order requiring that a jointly owned property/properties are transferred into my name? This will reveal additional content: We are only bound by a Court Order if we are specifically named within the Order and were involved in the legal action that resulted in the Order being made. Where we aren’t bound by an Order, we will assess each application on its own merits. This may result in you having to remortgage the property(s) with another lender or having to sell the properties to realise the equity awarded to you by the Court.
How long is the change of borrower approval valid for? This will reveal additional content: Once approved, the change of borrower must take place within six months of the approval. If you still want to proceed with the change of borrower after this period, please contact us as it may be possible for us to extend the approval, subject to your circumstances being unchanged and updated property valuations and credit searches.