House not selling - handing keys back?

BlackRaven_3

My girlfriend's house has been on the market since the beginning of 2012. Valuer said was worth £120k, but as we wanted a quick sale we listed for £110k. It was dropped to £105k in August, then £100k around October. We have a house already in both our names as my wage alone covered my house anyway, and IVA due to end very shortly. We are having a baby in April, and with her maternity leave and 2 houses I won't be able to pay for both houses on my own!

The house is actually in the names of my girlfriends sister, and my girlfriend's ex (who has moved to somewhere in Blackpool and not contactable). This was because my girlfriend had an IVA at the time of buying so it couldn't be in her name. Her ex is not paying anything towards house, has written it off and no idea how would even find them - just disappeared with new girlfriend.

House has £93k outstanding. Zoopla values at £96k now (med to high confidence). If could hand keys back now and not pay a penny more we would be happy. Its 2 bus stops away from Manchester, 4 bedroom and 3 floors. Ideal to turn into student accommodation, but to change to a rental mortgage we have to remortgate into our names first which means paying a deposit we can't afford.

Building_Surveyor

You say it's your girlfriends house but then you mention it's actually in the names of her sister and her ex? Whose names are on the mortgage?

BlackRaven_3

Girlfriends sister and girlfriends ex. My girlfriend is the one making payments.

~Beanie~

Why is your girlfriend making any payments if she is not on the mortgage?

loubel

BlackRaven wrote: »

My girlfriend's house has been on the market since the beginning of 2012.

The house is actually in the names of my girlfriends sister, and my girlfriend's ex (who has moved to somewhere in Blackpool and not contactable).

If girlfriend doesn't own the house and her ex has done a vanishing act then she won't be able to sell it or remortgage it!

Who owns the house legally? Who is named on the mortgage? Did they enter into a declaration of trust?

Mojisola

BlackRaven wrote: »

The house is actually in the names of my girlfriends sister, and my girlfriend's ex (who has moved to somewhere in Blackpool and not contactable). This was because my girlfriend had an IVA at the time of buying so it couldn't be in her name. Her ex is not paying anything towards house, has written it off and no idea how would even find them - just disappeared with new girlfriend.

So the mortgage is in the sister's and her ex's names?

Only they can deal with the property. It can't be even be sold unless they sign the paperwork.

spacey2012

I would have thought the best way to bring it to a head is stop paying.

BlackRaven_3

Unsure if I'm not making myself clear, or if its me being thick! LOL

House in name of her ex and her sister. GF and her ex lived in the house, but was put in her sisters name rather than my gf as my gf had an IVA. Once her ex moved out, there was only my gf living there (hence why she is paying the bills). Verbal declaration of trust.

( I could make even more complicated by saying that my gf and her sister have been paying her nan's mortgage which is in her nan's name, but when their nan died they now get nothing! Her sister wants to buy her nan's house but struggling cos tied up in the above!)

loubel

BlackRaven wrote: »

Girlfriends sister and girlfriends ex. My girlfriend is the one making payments.

Please tell us they entered into a declaration of trust when they bought this house!?

ETA:

BlackRaven wrote: »

House in name of her ex and her sister. GF and her ex lived in the house, but was put in her sisters name rather than my gf as my gf had an IVA. Once her ex moved out, there was only my gf living there (hence why she is paying the bills). Verbal declaration of trust.

Your girlfriend and her sister were extremely naive to buy this house without a formal declaration of trust!

Your girlfriend can't sell this house, she can't remortgage it and she can't arrange to hand back the keys because it is not her house and not her debt. If she values her relationship with her sister she should do all she can to help trace her ex and to pay off the shortfall so that sister can get out of this terrible arrangement!

lovinituk

Well the sister is pretty stuffed then! Your girlfriend could walk away or hand the keys back but it will be the sister (and the ex) who get their credit files trashed! I hope the sister doesn't want to borrow any money for the next few years.

jackomdj

I think you are clear, however even though in your GF's mind the house is hers, legally it is her sister and ex's (I assume it is their name on the deeds), so therefore they are the ones to sell it.

If your GF did walk away it would be them that the mortgage co chase, so your GF would scupper any chance her sister has of buying another mortgaged property.