how to raise money

corailfeuille

My partner for 10 years broke up with me in January. We bought a two-bed flat together over 5 years ago. It is now worth, according to three high street estate agents, between £279,000 and £295,000.

Our remaining mortgage is about £125,000. My ex says either of us could provide the other a lump sum in the region of £80,000 (take the average quote of £280,000, minus the mortgage, then divided by two) to sort this out.

My ex offers to pay me the sum of £80,000 (that includes some drastic measures of clearing up all savings and selling all shares). I only have £15,000 of saving so I can't offer my ex the lump sum.

I do want to keep the flat, what is my option?

My income is £30,000 per annum. My ex earns £35,000 a year.

thanks.

Robert_Sterling

I think you are using about the correct figure i.e. £80,000

If you both want the flat and are in a position to pay £80,000 then you could have a pseudo auction and the one who is willing to pay the other a higher sum would get it.

corailfeuille

Thanks Robert,

Neither of us could afford £80,000 upfront but my ex is in a better position to come up with a closer amount. BUT it was my idea 5 years ago to buy this flat AND the break-up came out of the blue for me.

I really want to stay but my ex has rejected my offer to pay half of the lump sum and the other half in installments. That's why I am looking for ways to raise the money.

ANy idea???

GUMPO

You are going to have to borrow to get the money. A high street bank won't give you a sufficent mortgage based on your earnings so you are looking at very limited options. You contact one of the vultures who advertise on the TV for homeowner loans (Last resort).
Alternatively if the flat still looks like increasing in value over the next few years why not invite a friend or family member to buy in as an investment. In a couple of years when you have got the funds you can buy them back out. They get the profit from the rise in the value of the property, you get to keep your home and no robbing B****** loan company gets rich.

Robert_Sterling

OK. A reality check.
As a couple you can afford the £125,000 mortgage.
As single people each of you alone might be able to afford a £125,000 mortgage but neither of you alone could afford a £125,000 mortgage AND a further £80,000 loan.