parents gift poser ?

bigjluk

hi,i will try and be as brief as possible.in nov 2002 my father signed over his house to me,i remortgaged it ,with him staying there,while used 100k to buy a house for me and my girlfriend ,who has 2 kids that are not mine.we sold this 9 months later with 15k profit,which was used for solicitors fees for a custodial case against the father of the kids.we then bought another property which was 45k dearer,meaning we got a joint mortgage for this,as well as the mortgage on my fathers still running as a sole mortgage for myself.we had problems and remortgaged on the 50k ,to get another 115k overtime.18 months ago we split and i moved out of the joint house,now i have stopped contributing to the mortgage as she will not move out.i am looking at it as a business partnership now,and want to rent out the property,as we could get rental which would easily cover the payments for a repayment mortgage,as it is currently a interest only,also she would get tax credits towards a place for her and the 2 kds to rent.my questions are 1)because this was originally MY parents money,can i get it back in anyway,and 2)because she wont move out,how can i get her out.
any HELP appreciated

Fire_Fox

Firstly you won't be able to let the house until you have permission to let from the lender, and they may require you to pay a fee or go onto a more expensive buy-to-let mortgage. Secondly any debt in your name is yours alone, any debt in yours and your partner's name you are either liable for half each (tenants in common) or each for the full amount (joint tenants).

Thirdly any assets in your name are your alone, any assets in joint names are half each, unless one of you can prove in court that you have contributed more to the running of the household. So if you put all the deposit in AND you paid all the mortgage AND bills you might get a larger share of the equity.

Any income from a rental property will have to be declared to the taxman and taken into consideration for benefits. It's likely your ex won't get the level of tax credits, housing benefit etc. that you imagine she will. It's also likely that you will end up out of pocket as the house won't be let all the time and you can only write off the interest on the mortgage not the full mortgage payment.

Best thing to do is get legal advice as this sounds like a complex financial arrangement. Be ready to lose half your money if you did not make an arrangement at the time of purchase to protect your equity: this stopped being your parents money or your parents house in 2002. Easiest all round is to put the house on the market and go your separate ways or you will be tied together for all eternity.

poppy10_2

bigjluk wrote: »

1)because this was originally MY parents money,can i get it back in anyway,

No, not unless you bought the property as tenants in common and specified how much money you had put into the property

2)because she wont move out,how can i get her out.

You can't, she owns the property 100% (as do you) and therefore has a right to live there if she wants. You are also jointly and severally liable for making the mortgage repayments, it was a bad idea to simply stop paying. If she also stops paying both of your credit ratings will be trashed.

wolfplayer

Is your father still alive?

If so, who is making the payments for the house he signed over to you, which you re-mortgaged?

Emmzi

I think are you saying you have a 100k mortgage on your fathers house in your name and £115k (or maybe £160k?) as a joint mortage on a house you own with this woman. Is that correct?

You put £100k into your first house purchase as a couple, which you then carried over to your second house purchase.

Is this correct?

You need legal advice. You need help over providing proof of your input of funds to the house. And also making school age children leave their home is not easy. And, you need to keep paying the mortgage.

Worst case? I think she can stay until the kids are 18. Then you can force a sale.

I'd spend the money on mediation or q solicitor now. She may like to be shot of you, as you would of her, and she may go for a reasonable (to her) sum of money. But you won't know until you start offering.

silvercar

You are still liable for the mortgage as is she.

The way splits seem to be financed is that you are liable to pay half the mortgage and she is liable to pay to you half the market rent for the property. Work that out and see who should be paying who.

As the children are not yours, there is no obligation for you to provide housing for them - their father should be paying maintenance so that she can afford a place to live.