Help - need to know what to tell them ...

rescuethemall

My fiance's parents have offered to put in a substantial deposit to allow us to get our first home with my fiance having the mortgage in his name only.

We're just a bit worried that once we're married that the 'financial link' could be there and if I end up going bankrupt (worst case scenario), would the OR take the house away even though i've not put any money towards it or on the mortgage?

Also, does anyone know roughly how much extra it would cost us a month to actually live in a home of our own compared to renting? I know that my o/h would have to have life insurance due to the mortgage and that we'd have to pay for the buildings insurance as well as contents, but we cant think of anything else?

Mirtos

As far as I know, if it's solely in his name, they couldn't touch it.HOWEVER, I'd caution you to think seriously about this. If the house is in his name, and looks likely to remain so, then you have no claim to it if you split up. - Even if your money has been paying the bills and buying the food while he paid the mortgage. I know it sounds negative to think like this, but it's worth always planning for worst case scenario just in case.

melt71

Mirtos wrote:

As far as I know, if it's solely in his name, they couldn't touch it.HOWEVER, I'd caution you to think seriously about this. If the house is in his name, and looks likely to remain so, then you have no claim to it if you split up. - Even if your money has been paying the bills and buying the food while he paid the mortgage. I know it sounds negative to think like this, but it's worth always planning for worst case scenario just in case.

Totally agree with that. If you do happen to get divorced (sorry!) it will make things extremely complicated and you will only be entitled to 'your share' if you end up having children together. Not sure if this is actual law but it is certainly how divorce solicitors work things out between the 2 sides.

As far as financial associations are concerned; as long as you do not have any joint finances at all (even searches on your credit record for joint loans etc can affect this so I suggest you both check your credit records to see if any companies have done joint searches). If you genuinely do not have any joint finances you can distance yourself from the other party by contacting the credit agencies (Experian etc). HOWEVER, when you marry I am not sure how a debt collection agency would see this or if you were to go bankrupt how it would affect your hubby's finances so it's worth taking expert advice on this before you make any final decisions.

Mel

cupid_s

We have a mortgage and neither of us has any mortgage protection cover or life cover. We don't need to with our mortgage. Is that unusual?

With regards to costs of owning compared to renting: there are other costs in the home though, for example repairs that you are liable for not a landlord. We bought a new house and apart from new guttering have not had anything major to pay out apart from what we want to do in the way of decorating.

One important factor is how expensive renting is in the area yo want to buy compared to buying.