girlfriend problem

Chinkle

I'm confused by the title too. You have a loan from your parents which must be repaid first if and when you sell the house. Do you and your girlfriend want to sell your house? Do you want to sell it to your parents?

If so what's the problem? They can't then compel you to stay on as tenants if you don't want to. Or maybe you want to?

Or are we to assume they just want to make your life difficult and attempt to call in their loan because of some disagreement with your girlfriend? From the brief description of the agreement drawn up at the time of the loan they are not in a position to do this. Of course they can make your family life miserable in other ways if they choose over this.

redmalc

Thanks for your comments,we were not paying anything back to my parents but now they want some money back and we cannot afford it

frugalfreddie

It sounds to me like your parents are causing you a lot of issues which sound very unfair to me. If I was in your shoes, I think I would sell the house back to your parents and find somewhere else to rent hassle free for the time being until you gather enough money for a deposit on a house. Just my two pence!

Fred.

loubel

What did you actually sign? Was it just an agreement between you and your girlfriend about the equity in the event of you splitting up? Or did you have a loan agreement with your parents?

I'm unclear as to whether you are wanting to sell to your parents but your girlfriend doesn't or whether neither of you want to sell?

luckyfool

£80,000 loan. What would be fair interest/rent for this given you are their son? 4%? On a monthly basis that would be what, around £266 per month? If you cannot afford that, I cannot see how you can afford to rent, but maybe you should sell up and cut the financial ties to your parents.

Incidentally, the legal agreement you have is not going to work that way. The mortgage lender is 100% going to get their cash back first, with the next £80,000 after that going to your parents. If there is a shortfall there is no way the lender will allow your parents to be made whole from the proceeds of the sale while they have to eat a shortfall, never ever going to happen.