Split with partner and have shared mortgage

dats

Some reading for you:

http://www.thisismoney.co.uk/credit-and-loans/dealing-with-debt/article.html?in_article_id=408706&in_page_id=62

http://www.advicenow.org.uk/living-together/breaking-up/

http://www.adviceguide.org.uk/index/f_ending_a_relationship_unmarried_couples.pdf (not massively helpful, but pretty much all the CAB pointed me towards.

getmore4less

Since the main hurdle in these cases is usualy the mortgage and that is sorted.

Would he notice if you sold it to yourself.

How long before he is bankrupt? with negative equity you would get his benifitial interest for £1.

Does he owe you any money, might be worth the cost to make him bankrupt.


Asume you have shut down all other financial link just leavin gthe mortgage.

kegg_2

do you own the property jointly or as tenants in common?

If jointly then you should quickly change it to tenants in common

jodenice

I'm hoping against hope he'll calm down and sign it over. I need to be prepared though in case he doesn't.

I cannot afford solicitors or court fees (because I'm paying our whacking great mortgage!) so i will wait - sooner or later he will have to get a court order if he wants me to sell it. In the meanwhile I will continue to live there as normal. I hope that happens before his debts close in - although that could be a solution in itself I guess.

dats

Definitely spend a LOT of time online researching. Make a list of questions and get some free advice from a local solicitor. Mine was brilliant. I ended up having an hour and a half (from an initial half hour freebie) and it made me feel a lot more confident. But I was really prepared - and that was the key to getting the best out of the appointment. I also made sure my ex knew that I had taken legal advice.

As I said earlier, if you can try reallllly hard to meet with him and negotiate (aka get him to understand that you are being reasonable and that it is going to be in his best interests to co-operate) that will be a hundred times better than having to deal with things more formally.

jodenice

Right - progress, he has signed over the flat to me.

However - I have more questions!

so we bought the flat at the height of the property boom for £135. The mortgage is now £123,00. I really need to get the flat valued but am wondering

If it is in negative equity - will this affect the mortgage companys decision to hand it over to me?

If it has equity - and he goes bankrupt at some point - although hopefully not - I presume that if its within 5 years I would have to pay half of the equity out.

also I have had a quote from the solicitor who has said that as our freehold is set up in an unusual way (we do not have a management company, we are all individually named) the cost for transfer will be DOUBLE that of a normal transfer as they have to do it twice! So as it stands I can't really afford to take him off anyway.

Gah. Can anyone help?

RWAP

jodenice wrote: »

Right - progress, he has signed over the flat to me.

However - I have more questions!

so we bought the flat at the height of the property boom for £135. The mortgage is now £123,00. I really need to get the flat valued but am wondering

If it is in negative equity - will this affect the mortgage companys decision to hand it over to me?

Possibly - they will consider the additional risk of continuing negative equity and having to recover the remaining debt from you on your own.

If it has equity - and he goes bankrupt at some point - although hopefully not - I presume that if its within 5 years I would have to pay half of the equity out.
{/QUOTE]
Yes as he could not show that he obtained true value for the asset when transferred to you. However, bear in mind who is paying legal fees, mortgage and valuation fees on top of the purchase price as that adds to the value received if you are paying it all.

also I have had a quote from the solicitor who has said that as our freehold is set up in an unusual way (we do not have a management company, we are all individually named) the cost for transfer will be DOUBLE that of a normal transfer as they have to do it twice! So as it stands I can't really afford to take him off anyway.

Gah. Can anyone help?

It is uncommon to have the freehold in individual names for all the leaseholders, but not unusual. The cost for the transfer should not work out as double however, as there is presumably no mortgage company involved on the freehold - it should just be a fairly straightforward transfer (although needs to be signed and witnessed by all the leaseholders), plus land registry fees.

Shouldn't really be more than £200-£250+VAT additional work for the freehold.

jodenice

Thanks for the reply. so a quote of roughly £500 for the mortgage equity transfer and freehold transfer sounds about right? Its so expensive, add that to the fees and I'm not going to be able to do this for a while.