About Beneficial Interest in House

CarolineHD

My husband put up £45,000 back in 1992 and a mortgage was taken out in my own name for £60,000 so the house could be bought for £105,000.

Only my name appears on the title.

I have paid the mortgage payments ever since. But remember that the £45,000 was provided my my husband.

Do I have any beneficial interest given I make the mortgage payments?

RAS

BI is normally associated with bankruptcy, is that an issue for you?

CarolineHD

Not yet, but I'm in debt, but my husband isn't, hence the reason why I made the earlier post.

I want to see when a question is put to me "Do you have any beneficila interest in the house" what is my position exactly.

RAS

You have BI, as far as an Insolvency Practitioner is concerned, in any property for which you have paid any money even if your name is not on the deeds or the mortgage.

If you transfer the property to your husband and then go BR, the OR will reverse the transaction and you will face either BRU or BRO - extended period of bankruptcy to punish you for trying to secrete assets.

It would be reasonable to make the property a joint tenancy, but I think at the mo, your OH may be able to claim BI of his own that would prevent the entire value being taken in bankruptcy, just because of his original deposit, and maybe more if it was shown he contributed disproportionately to other household costs.

CarolineHD

Thanks.

Then if I have Beneficial Interest, the next question is how much - in percentage wise.

Remembering my husband put up a deposit of £45,000. I took out a mortgage of £60,000 and have paid all of the mortgage payments ever since.

We share the household bills & maintenance costs.

DVardysShadow

CarolineHD wrote: »

Thanks.

Then if I have Beneficial Interest, the next question is how much - in percentage wise.

Remembering my husband put up a deposit of £45,000. I took out a mortgage of £60,000 and have paid all of the mortgage payments ever since.

We share the household bills & maintenance costs.

What can be answered clearly IMO is that your husband's beneficial interest in 1992 was [45 / [45 + 60]] * 100% = 43%.

His interest will almost certainly not have gone down over the period and if he paid disproportionately as indicated above, it will have gone up.

CarolineHD

So I assume that had my husband paid the mortgage all along (even though the mortgage was taken out in my sole name) then his share of the Beneficial Interest would have increased.

Am I right?