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    • zoe25
    • By zoe25 17th May 17, 5:26 PM
    • 3Posts
    • 1Thanks
    zoe25
    Advice re separation and transfer of property
    • #1
    • 17th May 17, 5:26 PM
    Advice re separation and transfer of property 17th May 17 at 5:26 PM
    Hi, my partner and I are separating. We're not married and our home is owned and mortgaged in his sole name (due to a low rate mortgage on his previous property ported to the property and my ownership of another property at the time of the purchase, since sold). We are trying to resolve things amicably as we have two children. He has suggested he remortgages the house (there is about 700k equity and 134k outstanding borrowing and he could raise about 175k through remortgaging) and raise additional funds through cashing in a stocks and shares ISA and selling investment properties we both have. He has proposed giving me enough cash to put down a deposit on a property that would house myself (and the children 50% of the time) - approx. 350-370k - I would take out my own mortgage for the rest - and that he remains in the family home.


    I would prefer that he moves out and I stay in the family home. The current mortgage is not transferable to me, so I'm trying to work out the best way to achieve this.


    Can he first remortgage the property to release the cash he would need to move, then 'sell' me the property for the total amount of the remortgage - ie c309k - then port his mortgage to a new property. I then raise cash/ take out a mortgage to cover the 'purchase price' (assume I'd need a deposit of some sort depending on the mortgage product?)


    I know stamp duty would be payable on the 309k - is there any way around this as the remortgage would have to happen prior to the 'sale' to allow him to release the cash to purchase a new property?


    Or, could he sell me the property for the 134k outstanding debt thus cutting the stamp duty to £180 and I then immediately remortgage to release the additional cash to him to allow him to move. Would a lender allow an immediate remortgage on a property worth around 830k in reality but purchased for only 134k?


    All a bit complex.... would appreciate any advice!


    Thanks!
Page 1
    • Thrugelmir
    • By Thrugelmir 17th May 17, 6:55 PM
    • 53,442 Posts
    • 46,098 Thanks
    Thrugelmir
    • #2
    • 17th May 17, 6:55 PM
    • #2
    • 17th May 17, 6:55 PM
    Seek advice from a family lawyer. You need to ascertain what a fair settlement might be.
    “ “Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell.” Sir John Marks Templeton
    • zoe25
    • By zoe25 17th May 17, 7:08 PM
    • 3 Posts
    • 1 Thanks
    zoe25
    • #3
    • 17th May 17, 7:08 PM
    • #3
    • 17th May 17, 7:08 PM
    Hi, it's less about a fair settlement as he's already said he is prepared to offer me more than 50%. It's about whether it's possible to transfer ownership of the house from him to me. Thanks
    • Thrugelmir
    • By Thrugelmir 17th May 17, 10:11 PM
    • 53,442 Posts
    • 46,098 Thanks
    Thrugelmir
    • #4
    • 17th May 17, 10:11 PM
    • #4
    • 17th May 17, 10:11 PM
    Neutrally speaking. Then yes there would be avenues to transfer ownership. Though with ownership of the property in his name alone. If he wishes to remain. Then your options are somewhat limited.
    “ “Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell.” Sir John Marks Templeton
    • zoe25
    • By zoe25 18th May 17, 9:45 AM
    • 3 Posts
    • 1 Thanks
    zoe25
    • #5
    • 18th May 17, 9:45 AM
    • #5
    • 18th May 17, 9:45 AM
    thanks. I will look into mortgage options.
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