Should my boyfriend pay my rent to my parents?

anguk

!!!!!! wrote: »

But they don't own 15% of the house. They have lent the OP the deposit and money for renovation which currently comes to about 15% of the house value. The deed of trust says that that money is paid back on sale of the house.

Bottom line, parents can have the money back when the house is sold and have absolutely no claim on anything before that time, and have no rights to dictate who the OP populates the house with or rent from them.

I agree with this. Any loan that was given to the OP is between her and her parents any financial dealings with the boyfriend is between her and him.

If the parents are now deciding that they're landlords and want rent from the boyfriend then they have legal implications as others have pointed out. Plus if they're taking rent for "their" 15% they should also be paying 15% of any maintenance, repairs etc.

As far as I can see the deposit was a loan to be paid back upon sale of the house, it's very unfair of them to now bring in other clauses and conditions. It seems to me that most of this is down to them disliking the boyfriend. Personally I couldn't live like that with parents trying to control me when I was an adult, I'd be saving like mad to pay back their £15% so they had no control.

What's going to happen if in 10 years time you're married with kids and decide to be a SAHM? Is your boyfriend going to be happy with paying all the mortgage & bills and still pay your parents 15% rent? With no claim on the house at all? I know if I was him I wouldn't be too happy about it.

Mojisola

It's one of those situations where what's right and wrong may have to be tempered by what's going to keep the family peace.

If your parents receiving 15% of the rent value for the whole house will keep them happy, work out a way of paying it without telling them how your BF and you have sorted your personal finances.

If you want to stand your ground, tell your parents they have no right to ask for "rent" when the arrangement was that they would get money back after the sale of the house. Save like crazy and get out of this property with its emotional baggage as soon as possible.

JodyBPM

!!!!!! wrote: »

But they don't own 15% of the house. They have lent the OP the deposit and money for renovation which currently comes to about 15% of the house value. The deed of trust says that that money is paid back on sale of the house.

Bottom line, parents can have the money back when the house is sold and have absolutely no claim on anything before that time, and have no rights to dictate who the OP populates the house with or rent from them.

I accept that legally (which is why I put "own" in inverted commas), but morally, I think they have some right to ask for a return on their investment. Especially since the OP has said that they re-mortgaged their house to provide the 15% deposit. That means that it is costing them money in interest each month to help the OP out. Is it really unreasonable of them to ask that some of the money that OPs boyfriend will be now be paying in rent goes towards the costs of servicing that loan?

TBH, regardless of the legal situation, if my parents had remortgaged their property to lend me a sum of money to get myself onto the property ladder, I would offer to pay the interest on the debt as soon as I was in a position to do so. The boyfriend moving in obviously brings more money into the household, and I don't think its morally unreasonable to suggest that some of that extra money goes to the parents freeing them up from subsidizing their 34 year old daughter on a monthly basis. Again, I don't think its unreasonable for the parents to expect OP to pay for her own maintenance and repairs now she has extra money to play with.

OP do you not think that it would be reasonable to cover your parents mortgage for the 15% now there is extra income coming in to the house?

anguk

New_to_Avon wrote: »

I'm 34, my bf is 37. We want to live together with a view to saving up in 18 months for a house deposit and to get married. I appreciate your point about the maintenance, that is the bit we're really stuck on in the cohabitation agreement we're drawing up! I'm hoping the solicitor this afternoon can offer some further advice on this. We know we need to get out of this house and arrangement asap in order to move on and have a house on equal footing that is just ours. I am really concerned that this isn't a fair deal for my bf, so it would be short term with a view to moving on as soon as we can. As you may have seen from my signature, I got made redundant last year and am struggling to find a full time job so have three jobs to make ends meet at the minute. We're working as hard as we can to make out lives better but life seems to keep throwing us curved balls!

Goodness, I thought you were younger the way your parents are trying to control you! I think you're both old enough to make your own financial decisions.

Personally if the house has no equity and isn't likely to quite soon I'd be looking at selling now and renting with your boyfriend. Then you could both start afresh 50/50 with no interference from your parents and you could then both save to get married and buy your own place.

Mojisola

Just being nosy now, but does your brother still live alone? Do they get rent from anyone else he has living in his house?

New_to_Avon

JodyBPM wrote: »

OP do you not think that it would be reasonable to cover your parents mortgage for the 15% now there is extra income coming in to the house?

I suggested this right from the start to my parents and they totally flipped out at me, saying this would de-value their investment. :eek:

In essence, if we pay them the rent they are asking, this is what we would be doing (covering their mortgage repayments for my deposit) so I agree with the person who said I need to balance what is going to keep the peace within the family with the legal rights and wrongs of the situation.

Off to the solicitors now!

JodyBPM

New_to_Avon wrote: »

I suggested this right from the start to my parents and they totally flipped out at me, saying this would de-value their investment. :eek:

In essence, if we pay them the rent they are asking, this is what we would be doing (covering their mortgage repayments for my deposit) so I agree with the person who said I need to balance what is going to keep the peace within the family with the legal rights and wrongs of the situation.

Off to the solicitors now!

TBH this sounds like the whole thing has been a real mix between "helping out the daughter" and a property investment, which is why it is getting so complicated now, because its hard to separate where "help" should end and legalities should start.

I'm inclined to think that your parents are paying monthly interest on the deposit amount, have lost some of that amount due to the negative equity, and have helped you out thus far with maintenance and repairs. They've done a lot for you, and you should be grateful for that.

You now have more money to play with as your BF is moving in, and I think it is entirely reasonable to pay them a sum every month in appreciation of what they've done.

I think your BF should pay you rent at half the going rate for the house rental, as this is fair and reasonable. You should then pass on to your parents an appropriate sum to cover the costs to them of having helped you out so generously.

I'm not saying this on any legal basis, legally I'm fairly sure you can tell them to take a running jump. But in the interests of family peace and in recognition of what they have done for you, passing them back some money seems entirely reasonable to me.

marcowil

My tuppence worth would be that the parents are trying to control who their daughter decides to co-habit with and are using the house deposit as a way of getting what they think is best.

At 34 years old, the OP is old enough to make her own decisions and if necessary, mistakes.
The financial situation within the house (i.e.between her and her boyfriend) should remain private and is none of the parents business.

If they wanted to get 15% monthly then they should have written this into the contract they all agreed. They must have known that at some stage a partner would potentially enter their daughters life. I suspect it is their dislike of her chosen partner that has instigated this, and is their way of trying to cause a breakdown of the relationship

pleasedelete

Does it specify a price at below which you can't sell?

What does it say would happen if you default on the mortgage? Are they then required to take over payments?

They must have known that house prices cAn go up and down. If they put the money in shares chances are that they would have lost money over that time as well.

Whilst the intent was noble (ish) the logic was foolish. They borrowed to fund deposit in a vulnerable market. They didn't have the cash to do it.

As someone else said they have confused helping child with making money at property.

Could they buy the house from you at the price of the mortgage or in some way take over the mortgage.

pleasedelete

Plus I can't see why you are wasting money with solicitors. Don't sign anything.

Move him in . Rental agreement and rent book. Rent paid to you.

They can then try and take legal action if they wish but they seemingly have no case.