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Results: What should I ask for?

Trust her and just be a tenant paying rent

60.78% • 31 votes

Ask for equity in the house after paying a certain amount

15.69% • 8 votes

Ask for a Deed of Trust

23.53% • 12 votes

You may not vote on this poll

51 votes in total.

  • FIRST POST
    • JJM236
    • By JJM236 4th Oct 17, 6:14 PM
    • 1Posts
    • 0Thanks
    JJM236
    Help! Girlfriend bought a house...
    • #1
    • 4th Oct 17, 6:14 PM
    Help! Girlfriend bought a house... 4th Oct 17 at 6:14 PM
    Hi guys,

    So my girlfriend of only one year who I do love has just bought a house in Central London.
    I currently pay £1200 a month rent and will be moving in with her next week when the purchase goes through.

    She has paid all of the deposit and the mortgage is £1450 a month meaning my rent goes all the way down to £725 PCM which I am of course happy about.

    The problems/ worries I have with it are:

    If I pay half of the mortgage for 10 years and then we break up/ she kicks me out I won't have any equity.
    I am the breadwinner so most likely will be paying for a lot of the repairs/ modifications to the house and back to the point above.

    I understand her side that I would be paying significantly more rent somewhere else and she has paid all of the deposit etc but I just wanted to get your guys opinion on it?

    One of my friends mentioned something like a deed of trust?

    Thank you so much!
Page 2
    • kinger101
    • By kinger101 4th Oct 17, 8:58 PM
    • 3,880 Posts
    • 5,302 Thanks
    kinger101
    You could just keep living where you are currently living, but ask your current landlord if they are willing to let you have 65.5% more sex/cuddles/spooning on the sofa while watching Netflix than your current girlfriend. Would only seem fair if you're paying them £1,200 instead of the £725.
    • Lysimache
    • By Lysimache 4th Oct 17, 9:25 PM
    • 53 Posts
    • 20 Thanks
    Lysimache
    Does she has consent to let to you from her mortgage company?
    • kinger101
    • By kinger101 4th Oct 17, 9:28 PM
    • 3,880 Posts
    • 5,302 Thanks
    kinger101
    Does she has consent to let to you from her mortgage company?
    Originally posted by Lysimache
    Not a requirement unless it's a tenant.
    • goodwithsaving
    • By goodwithsaving 4th Oct 17, 9:33 PM
    • 650 Posts
    • 995 Thanks
    goodwithsaving
    Does she has consent to let to you from her mortgage company?
    Originally posted by Lysimache
    What? You don't need this if somebody if living with you. That's if you are renting out the whole property as a HMO or rental unit as a whole.
    Quite clearly states above that this is not the case.
    I think you mean if any member of the family over 17/18 is living with you, they usually need to waive their rights to any interest in the property by signing an Occupiers Consent Form which means they can't claim tenancy in the event the bank needed to repossess. This is at the time the mortgage is taken out.

    I think the OP should buy his own house and not ride on the coat tails of his girlfriend. A year is nothing and seeking a financial interest in a property in Central London which has been paid for by his girlfriend (who is apparently not the breadwinner) is just greed.
    Every time you borrow money, you’re robbing your future self. –Nathan W. Morris
    • Lysimache
    • By Lysimache 4th Oct 17, 10:18 PM
    • 53 Posts
    • 20 Thanks
    Lysimache
    Some mortgage companies disagree and count subletting as a reason to get consent to let too.
    • TBagpuss
    • By TBagpuss 4th Oct 17, 10:22 PM
    • 5,944 Posts
    • 7,695 Thanks
    TBagpuss
    So, you'll be saving over £400 a month.

    Put that into a savings account. Then, if things don't work out, you will have money saved for a deposit to rent pr buy your own place, if things go well, then in another year or two, you will have a lump sum to put into the house and at that point, can suggest a declaration of trust.

    But for now, don't be greedy. You're getting cheaper accommodation and you are early in the relationship.

    If at some stage the house does need major works doing you have a conversation at that point about what you will do, and whether that will result in you gaining an interest in the house.

    It sounds as though your girlfriend is being very sensible, and ensuring that, for the present, while the relationship is so new, she keeps the situation with her property simple.

    By all means have a conversation with her about what she sees happening in the future - whether she anticipates you going onto the house deeds and mortgage at some point in the future. But be ware that you may find she would rather remain in control of her own finances, in which case, keep saying the £400 + you're saving on rent every month
    • hazyjo
    • By hazyjo 4th Oct 17, 11:12 PM
    • 9,624 Posts
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    hazyjo
    Some mortgage companies disagree and count subletting as a reason to get consent to let too.
    Originally posted by Lysimache
    You don't seem to understand sub-letting or the difference between a lover/partner, lodger or tenant.

    ***

    OP, if you move in, just pay half of the bills, not the mortgage. Yes you will save loads, so do that until you either have enough to buy into half the property, or use to move on together and buy jointly, or buy your own.

    I wouldn't let anyone buy into my property, but horses for courses. My mate did and is blissfully happy (and now married to him). I'm twice divorced so see things differently.
    Last edited by hazyjo; 05-10-2017 at 10:03 AM.
    2017 wins: Opera tickets; film preview; lipstick; Ideal Home Show tickets + afternoon tea & bottle of Champagne; 2 cases of NKD; notebook; bath rack; books; film Premiere; Broadchurch DVDs; lipbalms; hamper (food/wine/Echo Dot/Jo Malone goodies); Avon lippies; cowhide rug; Windsor luxury break, foundation; Flybe flight
    • chappers
    • By chappers 4th Oct 17, 11:14 PM
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    chappers
    umm hope she isn't reading this, maybe try asking your current LL if he might consider giving you some equity in his house.

    I think the fact that you aren't buying the property together tells the story and answers your question.
    Last edited by chappers; 04-10-2017 at 11:16 PM.
    • ed67812
    • By ed67812 5th Oct 17, 12:13 AM
    • 133 Posts
    • 52 Thanks
    ed67812
    I'm intrigued.

    How are you the "breadwinner" yet she has, even if the deposit was paid by parents, managed to convince a mortgage company that she can pay the best part of £1500 a month (and more because her application would be stress tested)?
    • dekaspace
    • By dekaspace 5th Oct 17, 12:56 AM
    • 3,467 Posts
    • 2,812 Thanks
    dekaspace
    Interesting how when a man is moving in with a girlfriend people see him as the greedy one but when women do it to men its not.


    I read the OP as saying hes paying half her mortgage costs, and whilst its a saving to him he still is as stated, paying half her mortgage (and the repairs) so she is benefitting more and should they split she has had the months/years paid for her and he has nothing.


    And whos the say the OP wouldn't of bought a house himself further down the line had he been single.


    The moral side of it is that whilst hes saving money hes paying for her, he is also saving her money on mortgage, council tax, utilties and her visiting him and has someone to share chores or work to the house with difference being at the end she has the home and he hasn't.


    So difficult one.
    • Doozergirl
    • By Doozergirl 5th Oct 17, 7:04 AM
    • 23,883 Posts
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    Doozergirl
    Amazing. The number of people that can't see this as a mutually beneficial arrangement.

    I'm so glad I live inside this particular head.
    Everything that is supposed to be in heaven is already here on earth.
    • Debtslayer
    • By Debtslayer 5th Oct 17, 7:25 AM
    • 390 Posts
    • 544 Thanks
    Debtslayer
    Has this not been discussed between you and your girlfriend before now?
    What do you mean you are the breadwinner?
    If I were you I'd pay your half and put the rest of what you were paying in rent and bills into savings in case it doesn't work out with girlfriend you will have built up some savings to hopefully buy your own place.
    If it does work out then after X amount of time you could discuss with girlfriend being put on the mortgage and deeds and investing these savings into the property.
    You can't expect a share at the moment if your girlfriend has put down all the deposit and fees etc, which will be a significant amount being in London!
    Current Mortgage 01.09.17 £113,949.32
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    MFW No 124
    • Niv
    • By Niv 5th Oct 17, 8:43 AM
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    Niv
    If I were in the OP's situation I would happily pay half the bills + some rent (in this case half the mortgage sounds like a good deal as represents a significant saving).


    I would not contribute towards significant renovations / improvements to the house if I were to have no right to any increase in value, however I would contribute towards basic stuff such as painting and gardening.


    You are both winners in this. If you feel that strongly about it, stay in your current place, pay double the rent you could be and more in bills than if you split them with your partner. Hmm starting to sound like a good idea to move in with the GF now even if she does benefit too.


    Final thought: how much could she rent a room out in her house for? If this is equivalent to half the mortgage or more then I really don't see you having too much to complain about.
    YNWA

    Target: Mortgage free by 58.
    • HappyLassie13
    • By HappyLassie13 5th Oct 17, 8:45 AM
    • 11 Posts
    • 42 Thanks
    HappyLassie13
    Morning JJM236,

    Can I ask a simple question? Have you already talked about what will happen in the long run with your girlfriend?

    I only ask this, as i am currently in the same situation, but i am the home buyer. Me and my boyfriend have been together a little less than you and your partner. I decided i wanted to buy a house and i got a mortgage on my own and i am currently in the process of securing the house. I told my boyfriend about my plans and asked him if he would want to move in with me, which meant he would save a significant amount of money on rent etc.

    We have had numerous conversations about it all and have agreed to split everything down the middle when it comes to household bills. We have discussed in length what would happen if we did split up, so that he did not end up penniless and homeless. We have also agreed to a timeline of two years. If we are both still as happy and content as we are now, we will become joint mortgage holders.
    Its such a big and important decision buying a house and allowing someone to move in with you, that i am struggling to understand why you are asking forums and not your girlfriend?

    I wouldn't see it negatively if my boyfriend asked me the questions you are wanting to ask. But i already broached these subjects with him.

    As for other people slating the girlfriend and saying she's using him for money?!!! How on earth? she is saving him a great deal of money and can clearly afford it on her own, just like me!
    Why are people so negative about independent women?
    She can and has proved she can buy a house on her own and shes being put down for it!

    Anyway, hope all goes well JJM236. Save yourself some money, that's what i've told my partner to do, then he has his own savings as well as joint ones with me.
    • BBH123
    • By BBH123 5th Oct 17, 8:53 AM
    • 447 Posts
    • 663 Thanks
    BBH123
    I think if OP is the breadwinner he should buy his own house and then rent it out. That way the rent covers the mortgage and if the relationship with the G/F doesnt work he has an appreciating asset of this own.

    FWIW I think the G/F would be far more concerned about OP having a claim on her house and in her shoes I would be thinking very seriously if I wanted a B/F paying rent to move in. On the face of it she has more to lose than OP.
    • hazyjo
    • By hazyjo 5th Oct 17, 10:07 AM
    • 9,624 Posts
    • 12,138 Thanks
    hazyjo
    I think if OP is the breadwinner he should buy his own house and then rent it out. That way the rent covers the mortgage and if the relationship with the G/F doesnt work he has an appreciating asset of this own.
    Originally posted by BBH123
    If he's a FTB without 25% or so deposit, that would be very hard... unless he buys and then crosses fingers for consent to let at a later date (presuming they'd not insist on BTL), but he'd not be able to live with the GF as planned and would have to make his property his actual home. If he applied for CTL immediately the mortgage co would see that as somewhat suspicious!
    2017 wins: Opera tickets; film preview; lipstick; Ideal Home Show tickets + afternoon tea & bottle of Champagne; 2 cases of NKD; notebook; bath rack; books; film Premiere; Broadchurch DVDs; lipbalms; hamper (food/wine/Echo Dot/Jo Malone goodies); Avon lippies; cowhide rug; Windsor luxury break, foundation; Flybe flight
    • Lysimache
    • By Lysimache 5th Oct 17, 11:13 AM
    • 53 Posts
    • 20 Thanks
    Lysimache
    You don't seem to understand sub-letting or the difference between a lover/partner, lodger or tenant.
    Originally posted by hazyjo

    I'm not sure HMRC recognize lovers who pay rent, though I may be wrong!

    Giving money to an partner to help pay a mortgage could be considered rental income.

    £725 * 12 = £7800, a smidgen over the rent a room allowance (and if you set it against half the mortgage repayment, only the interest bit counts) and so the bit that goes over the threshold may be taxable.

    I know many mortgage companies are fine with subletting without them needing to know, but that's not all of them. Eg RBS charge a £100 fee.

    If someone is paying you half your mortgage that is rent if they are not on the mortgage deeeds i.e. then some of it is income from subletting which may need taxing and/or declaring to the mortgage company, even if it's just to help pay the mortgage off. Rent covering the whole of the repayment mortgage is not free of profit, as HMRC only recognizes the interest part of the repayment mortgage IIRC if you go over the rent a room allowance.

    Different if she lets him stay for free.
    • Wanderingpomm
    • By Wanderingpomm 5th Oct 17, 11:16 AM
    • 39 Posts
    • 26 Thanks
    Wanderingpomm
    Stay renting at twice the amount and she can get a lodger which will be less hassle
    • hazyjo
    • By hazyjo 5th Oct 17, 11:20 AM
    • 9,624 Posts
    • 12,138 Thanks
    hazyjo
    I'm not sure HMRC recognize lovers who pay rent, though I may be wrong!

    Giving money to an partner to help pay a mortgage could be considered rental income.

    £725 * 12 = £7800, a smidgen over the rent a room allowance (and if you set it against half the mortgage repayment, only the interest bit counts) and so the bit that goes over the threshold may be taxable.

    I know many mortgage companies are fine with subletting without them needing to know, but that's not all of them. Eg RBS charge a £100 fee.

    If someone is paying you half your mortgage that is rent if they are not on the mortgage deeeds i.e. then some of it is income from subletting which may need taxing and/or declaring to the mortgage company, even if it's just to help pay the mortgage off. Rent covering the whole of the repayment mortgage is not free of profit, as HMRC only recognizes the interest part of the repayment mortgage IIRC if you go over the rent a room allowance.

    Different if she lets him stay for free.
    Originally posted by Lysimache
    Sorry, totally confused. What's the relevance of HMRC?


    I said just pay half the bills. Not mortgage. Not rent. Nothing to do with rent-a-room either. A partner cannot be a lodger, tenant, etc. The home owner would not be sub-letting if her OH moves in.


    The mortgage co should be told someone is moving in. That's about it.
    2017 wins: Opera tickets; film preview; lipstick; Ideal Home Show tickets + afternoon tea & bottle of Champagne; 2 cases of NKD; notebook; bath rack; books; film Premiere; Broadchurch DVDs; lipbalms; hamper (food/wine/Echo Dot/Jo Malone goodies); Avon lippies; cowhide rug; Windsor luxury break, foundation; Flybe flight
    • David Aston
    • By David Aston 5th Oct 17, 11:21 AM
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    David Aston
    As always on these forums, good people have covered any questions I would have asked. I do hope we here back from the Op, but I'm not holding my breath.
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