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What happens if I die with a mortgage?

Daniella avatar
Written by Daniella
Updated over a year ago

When you die before paying off the mortgage on your property, the lender naturally retains the right to repayments on its secured loans. If you own your home as a joint-tenant (for example with your spouse or partner) and in this case, the property bypasses your estate and all obligations (including loan repayments) revert to the surviving joint-tenant.

In all other scenarios, the estate must find a way to pay the debt off to avoid the house having to be sold. Either the estate pays off the mortgage using any available funds, or a Beneficiary inherits the house and takes over future mortgage payments.

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