Ex taking name off mortgage

custardy

ladypinkof66 wrote: »

Whats stopping any couple with children apparantently splitting up and living separately for their convenience and living separartely so that the state carries on paying the mortgage interest whilst one partner is still working - if this was the case i would imagine lots of people would get on the band wagon, somehow doesnt seem right to me nor fair on us honest tax payers.

and does the other person working live on the streets?
or are they better off paying rent/council tax on one proprty and reaping in the interst only being paid on their mortgage?
does it make more sense for someone to sell their home,then get full housing benifit on a rented property?
the idea is its a tide you over system where you retain your house and get yourself sorted

benjo

ladypinkof66 wrote: »

Whats stopping any couple with children apparantently splitting up and living separately for their convenience and living separartely so that the state carries on paying the mortgage interest whilst one partner is still working - if this was the case i would imagine lots of people would get on the band wagon, somehow doesnt seem right to me nor fair on us honest tax payers.

Some do this - it is their free choice to do this, however all behaviours have a consequence and the consequence of the above behviour is called fraud.

If someone in this situation is found guilty of fraud they would loose their benefits and probably their house, jobs, reputation thats what usually stops people with conscience from doing it.

MissPrissy

babybean wrote: »

Have now found out some more info, so am posting incase any one else is in a similar situation. You CAN claim the interest only mortgage help if your partner no longer lives with you, it does not not matter if they are working or not as long as they do not live in the house. Interest is paid up to 6.08% so as long as your interest rate is under you are ok.
for me, i know i am not in negative equity as i put a very large deposit down( very foolishly as a joint tenant with my ex though)if it went to court because he wants off the mortgage and we have to sell would he really get 50% of the equity even though i have to provide another home for our three children?!? scary stuff, feel very foolish to have been put down as joint tenants on the purchase, a very expensive mistake on my part.

My brother in law is currently taking advice re separating from his partner, they have never been married.

Our understanding is that unlike married couples it is all to do with who pays what as to who owns what. A house with joint tenancy and both partners contributing equally is split 50/50 BUT if one partner pays a significant deposit or pays for an extension and can prove it with receipts, legal docs etc. then they will be given an additional share. If he bought a washing machine, had receipts in his name - he could take it with him. If he has a business which you have not contributed to in any way, there is no 50/50 split - it is his. Do you get my drift?

If he wants off the mortgage you will have to pay him his share of the debt. You may need to borrow extra on the mortgage to pay him off, but whether the mortgate company would look favourably on this is a bit dubious in your current circumstances. You need him off the mortgage as you could eventually end up paying for it for many years, the value increasing, want to sell - BUT CAN'T because he is still joint tenant - he could then demand a disproportionate amount of the equity to what he paid because he has you over a barrel. To keep your greater share you would have a lot of expensive court proceedings, so its something you should get sorted asap.

As you can see its a minefield. I have no idea re the children and their home. I should imagine they should be able to stay in the family home but you would need a court judgement to sort it out.

mynameisdave

Do you have to declare income from rent a room for benefit purposes? I know you get about £4,500 without having to declare it for tax but interest portion of mortgage paid and £300 a month from a lodger would be a pretty good earner.

Like someone said earlier in the thread why does anyone bother working?

sleepless_saver

MissPrissy wrote: »

My brother in law is currently taking advice re separating from his partner, they have never been married.

Our understanding is that unlike married couples it is all to do with who pays what as to who owns what. A house with joint tenancy and both partners contributing equally is split 50/50 BUT if one partner pays a significant deposit or pays for an extension and can prove it with receipts, legal docs etc. then they will be given an additional share. If he bought a washing machine, had receipts in his name - he could take it with him. If he has a business which you have not contributed to in any way, there is no 50/50 split - it is his. Do you get my drift?
...

As you can see its a minefield. I have no idea re the children and their home. I should imagine they should be able to stay in the family home but you would need a court judgement to sort it out.

MissPrissy, the thread you are replying on is over a year old.

sleepless_saver

mynameisdave wrote: »

Do you have to declare income from rent a room for benefit purposes? I know you get about £4,500 without having to declare it for tax but interest portion of mortgage paid and £300 a month from a lodger would be a pretty good earner.

Like someone said earlier in the thread why does anyone bother working?

It would indeed be a nice little earner, but sadly you do have to declare it for benefits purposes. It is income after all.