Advice please!

gemstars

pinkshoes wrote: »

How long have you been with this guy?? If I was buying a house with someone who was putting in a LOT of equity, I would be making very sure their money was protected and that I didn't come across as money grabbing!

I have £10k more equity than my OH, so we both pay an equal amount into the property, and if it's ever sold, then I get £10k back first, then whatever is left is split 50/50.

I could have opted to have the £10k as a % of the property, so would get X% back when it was sold, but this is only worth it if you plan to stay in the property for a LONG time.

I think your OH sounds like an ar*e.

One a side note...
Have you got a written statement on this? If so how did you get it/create it?

Thanks

pinkshoes

EL321 wrote: »

I have arranged to go and see a solicitor, but I feel like I am going behind his back. I need to get the guts up to tell him that we need to talk about the finances, and then show him my plan. I am a coward when it comes to these sorts of things though.

If you can't speak openly and honestly about finances with this guy, then DO NOT even contemplate buying a house with him.

EL321 wrote: »

He bought his car literally a week before we just started to discuss about buying a new house, if we had already talked about it then I suppose I would be more peed off, I am just more careful I suppose and would not want to buy a car on finance, unless it was absolutely necessary - if I was him I would have paid his mum and dad back first or at least started to before getting a new car which wasnt desperate.

Never underestimate the importance of financial compatibility in a relationship... It can make or break a relationship. Are you willing to loose £80k over him?

gemstars wrote: »

One a side note...
Have you got a written statement on this? If so how did you get it/create it?

We got the solicitor to write a document stating that the £10k extra would go to me when property was sold(as it was "donated" by my parents), then the rest of the equity would be split 50/50. Actually I don't think he charged any extra for doing it.

EL321

Thanks for your advice everyone. I am going to try and speak to him today or tomorrow with my 'plan' and also in a separate conversation tell him that I am going to see a solicitor regarding my wil, if I dont feel that I can say about a contract as well I will say that the solicitor mentioned it and that we discussed that as well. We are both quite shy really and find talking about anything 'serious' difficult, the only reason we talked about moving is because I joked about it and the next day he came home from work saying he chatted to his mates in work and looked at houses on the internet etc! I think he is just laid back and a typical man in that he doesnt think about things. I really hope that it is just because he has not really thought about it, if not then I will seriously consider saying that we will get a full mortgage and I will simply keep that money for myself!! But I dont think that will be the case.....and if it is then I am not going to risk losing all that money.

haras_nosirrah

why don't you buy as tennants in common.

You are putting down a 40% stake so there is 60% to divide between you.

Why don't you go tennants is common with you owning 70% and him owning 30% and this is the percentages you would get back if you sold. If either of you died your share would go to next of kin rather than each other unless it is in your wills to do so so you would need to make a will.

I am in the same situation as you where I am planning on putting down a 50% deposit from my house sale and then myself and my partner will split the mortgage and bills 50/50 but I will own 75% of the house and he will own 25%.

Blacksheep1979

Your relationship doesn't exactly seem to be going down the best of routes - you sure you want to start living together with this hanging over your heads?

What I'd say is 'fair' is if you both pay the same for mortgage/bills (you're both getting the same benefit) but you have the 40% of the house in your name from the deposit and 30% (50% of the remaining 60%) from the shared part totalling 70%. Get this put into a contract, get over the 'your doing him a favour' attitude and enjoy your lives.

DVardysShadow

haras_nosirrah wrote: »

why don't you buy as tennants in common.

You are putting down a 40% stake so there is 60% to divide between you.

Why don't you go tennants is common with you owning 70% and him owning 30% and this is the percentages you would get back if you sold. If either of you died your share would go to next of kin rather than each other unless it is in your wills to do so so you would need to make a will.

Still does not address what happens if house prices go down. The lender will get the whole of their stake back, but EL321 will take all of the loss on her deposit unless her partner makes good on his 30% of the losses.

Fire_Fox

Gillianh2 wrote: »

I do think you need to get some sound legal advice about this. Your BF doesnt seem too savvy as far as money is concerned. And £80,000 is an awful lot of money gosh in some parts of the country you can buy a house for a little more than that. Please go carefully.xx

In some parts of the country you can buy a house for far less than that - try Bradford!

EL321

I'd rather that at the end we were 50/50 to be honest - that to me would make it more of a 'partnership' - he can make up what I've put down over the years as he earns more, so to me that would make more sense than saying '70% will be mine and 30% yours'. Would you agree?xx

Blacksheep1979

Then treat it as an investment and he can buy into it, at the market rate, when he has the money.

Fire_Fox

EL321 wrote: »

I'd rather that at the end we were 50/50 to be honest - that to me would make it more of a 'partnership' - he can make up what I've put down over the years as he earns more, so to me that would make more sense than saying '70% will be mine and 30% yours'. Would you agree?xx

I think you should check with your solicitor what the implications of this are. If he is named 50/50 on the deeds, and then pays in more than you do to the mortgage I seriously think you could end up with him being legally entitled to more than half if and when you sell or if he gets into debt ... what would you do if he got made redundant, couldn't find another job and got into trouble with his existing debts? You could lose it all through no fault of either of you!

If you get married or have a child you can amend the percentage split. Have you ever lived together full time before? A lot of relationships change when you first live together.