Selling my house, but how does it work? aghhh

jigga2004

Hi,
I am set to place my house up for sale. I have lived with my father for 8 years. Unforunately we have fallen out and our relationship is beyond repair.

The mortgage has 8 years remaining. We have put 8 years in.

Now, the question is, if the house is valued at £88,000

and we have have paid £44,000 between us.

how does the sale then work? how much could we expect to get if say the house sold £85,000?

I am so confused.

I really would appreciate your help.

SJ1

Not sure I completely understand your question but surely it depends on how you both hold the property. Are you both named on the title deeds for example or does one or other of you own the property outright?

The person who owns it would sell it and would receive the proceeds. If that is both of you then I believe you would split the profits.

The numbers are relatively straightforward - Proceeds from sale less estate agent fees less solicitor fees less any outstanding mortgage would give you your profit. As the house is your primary residence there would be no tax to pay.

If one person owns the property rather than both of you then I am not sure that it really matters whether or not the other person has contributed towards the bills like the mortgage or not. You would have to talk to a solicitor about whether there could be any come back or not but on the face of it, I think not.

Just my views but hope it helps and would advise talking to a professional about it all.

SJ

jigga2004

Thanks for the reply.
Both our names are on the deeds. To take this as an example.

30,000 deposit was paid in on the house by my father.
I paid just 2,000.

44,000 is remaining on the mortgage.

So if the house was sold for 95,000, yet the mortgage was for 88,000
we would stand to gain how much, by the numbers above?

Am i right in saying it would be just £5000? excluding fees.

Or are my calculations all wrong.