Changing Tenants-in-Common shares

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Hi HH

When I bought my house we owned it 60/40. We changed it two years ago to joint tentants - easy peasy

We created a new Trust Deed, filled out an RX3 and sent them to the Land Registry. It didn't cost us anything but my solicitor is friend who did the Trust Deed for free. (I don't think they register trust deeds anymore at the land reg)

When you come to change your ownership I'd suggest that you give the Land Registry a call and they'll be able to tell you of the correct procedure.

BitterAndTwisted

The only way you can "make it more equal" later on is if either you come up with a lump sum and pay that to your partner or you pay a greater proportion in mortgage payments than an equal 50% share, or a combination of both.

puddy

well we did out deed of trust last year and im not sure it was registered with land registry, but i could be wrong as wasnt really up on the paperwork side of things

DVardysShadow

hedgehopper wrote: »

.... but I do understand the need to protect against that possibility and can see why he wants to.
...

I had initially suggested a 40-60 split but he just couldn't square it with the deposit business.

hedgehopper wrote: »

OK folks sorry to be a pain as the above advice is very helpful BUT, if we did decide we felt more comfortable making it 30-70 or whatever for the first two years then made it more equal later on, is that IN ITSELF likely to be a problematic process? I see this as being the most likely scenario.

thanks again
HH

Look, as I read it, he wants the split and you are [rightly] agreeing to protect his interests. But the split is completely accurate and fair at 60-40. Any more to him, and he is taking advantage.

As you are paying half the mortgage, you are renting £100,000. Similarly, he is renting £100,000 but putting in £50,000. So you are bringing 40% to the deal and he is bringing 60% to the deal. Your percentage ownership remains the same all the way through on this arrangement, UNLESS the mortgage split changes.

60-40 is spot on right and if you are going down the road of tenants in common, you should not accept anything less. If he is telling you he should have more, he is either bad at arithmetic or trying to rip you off. [In either case, think hard before you have his children ]

puddy

i must say though, i had to keep going over the sums myself at the time because when i though i had understood it, it then didnt make sense

put the house price, deposit and borrowings down here so we can work it out

DVardysShadow

puddy wrote: »

i must say though, i had to keep going over the sums myself at the time because when i though i had understood it, it then didnt make sense

put the house price, deposit and borrowings down here so we can work it out

Already posted

hedgehopper wrote: »

He's stumping up £50k for the deposit (house is £250k) and I'm basically covering legal fees and other moving costs (around £4k) so in that respect it seemed pretty generous to me! But this is on the assumption that we could change the shares around very easily in maybe 2 years' time when we'll both have been paying equally into the mortgage.

If it's actually tricky to do that then, well, we could have a problem...:-/

Costs 254

OP 104

Partner 154


It is actually 59 : 41

puddy

sorry, so yes unless the op wants to pay more than her half of the monthly mortgage payments, thats what the split is