Joint mortgage on splitting up with partner.

crocop

A friend of mine split up with her boyfriend last month, and moved out of their house immediately; they jointly own the house which they bought last November. He's now, apparently, seen a mortgage adviser who's told him that he's entitled to ask her to sign everything over to him because she's no longer in the household paying the bills. It's also been asserted that this is because they haven't owned the house long enough to have built up any equity for him to buy her out. It all seems somewhat underhand to me. She's under the impression that the options open to them are:

• Sell the house, pay off the mortgage, and split any profit (in whatever %)
• He buys her share of the property, because he wishes to stay there and she doesn't.

Either way, I'm trying to clarify her legal position/rights. Does he have the right to demand everything is signed over to him with no compensation to her?

Your help/advice would be greatly appreciated.

CLAPTON

they owe the house jointly.

they are jointly responsible for the mortgage so it best they try to sort the issue out asap.

but no, the BF is talking rubbish ...very much doubt if the mortgage advisor said that anyway.. probably pub talk.

so yes the options are as you said
-sell and divide profit (or debt if in negative equity)
-or she sells her share to him ... but he will need to remortgage and so will need to have sufficient income for the size of mortgage required.

DVardysShadow

crocop wrote: »

A friend of mine split up with her boyfriend last month, and moved out of their house immediately; they jointly own the house which they bought last November. He's now, apparently, seen a mortgage adviser who's told him that he's entitled to ask her to sign everything over to him because she's no longer in the household paying the bills. It's also been asserted that this is because they haven't owned the house long enough to have built up any equity for him to buy her out. It all seems somewhat underhand to me. She's under the impression that the options open to them are:

• Sell the house, pay off the mortgage, and split any profit (in whatever %)
• He buys her share of the property, because he wishes to stay there and she doesn't.

Either way, I'm trying to clarify her legal position/rights. Does he have the right to demand everything is signed over to him with no compensation to her?

Your help/advice would be greatly appreciated.

He has no right to insist, the options are as you outline them, plus leaving things as they are. The worst option is leaving it, unless they are clear about the arrangement and are happy about it, because the resentemnts will only build.

If she signs everything to him, that must include him taking over the mortgage - and formally, not informally. If that is done on a fair valuation of the house, she may or may not end up with some money - she might end up owing him. To be fair too, she should allow notional estate agents fees and solicitors fees to be taken off the value before splitting up the gains and losses after the mortgage is taken into account. A lot can depend on the amount of deposit and whether the house has lost or gained value.

Gorgeous_George

There are other options.

1. He could stay in the house and pay the mortgage and your friend could cause problems later when the equity has increased.

2. He could stay in the house and pay the mortgage and he could cause your friend problems later when the equity has gone negative.

3. He could stay in the house and refuse to pay the mortgage. Repossession would damage both parties but he will have lived rent free for a while.

4. They could both sell and share the losses (EA fees, solicitor fees, ERC etc.).

5. She should move back in. She should not have moved out of the house that she is legally responsible for in the first place. It's not a game of mummies and daddies.

Having a joint mortgage is more legally binding than having a marriage certificate. When will people learn?

GG