Beneficial interest on a house.

Rileybaby

I'm struggling for answers and wonder if you could assist!

I was made bankrupt in 2009, and discharged in 2010. My ex and I had a Buy to let property which her new Partner purchased my interest on ( without my knowledge) for £1.00 + costs as it was in neg equity.

If the BI was still in the hands if the receiver then it would be transferred back to me after 3 years for generally 6 months rent( I believe from research) what I don't know is does the person who purchased the BI have to return it to me?

Here's hoping you can help!!

Thanks

Mouse1812

The BI only comes back to you if you or your ex live in the house - that is if it is the family home. The BI never returns for any other property including Buy to Lets.

As you ex's new partner has bought your BI that is the end of it, unless you are still paying the mortgage.

Rileybaby

Hi,

The mortgage is still in mine and my ex's names jointly. The rent pays for the mortgage if thus helps.

Mouse1812

The rental income is not yours.

While your name appears on the mortgage and title deeds, you only have "legal" ownership, that is legal control. You do not have "beneficial" ownership, that is the right to income or the proceeds of sale.

You lost that beneficial interest on bankruptcy and that was sold by the OR to a third party.

Effectively you hold the legal title on "trust" for the beneficial owners.