Separation, mortgage & maintenance - help!

r_type

Hi all

I'm new to the forum and desperately need some help/advise on my situation - any feedback would be massively appreciated.

i separated from my wife 3 months ago and moved out the family home. we have 2 kids. My wife is happy to continue living in the house and as the mortgage is just over 20% of my take home pay i thought it made a good maintenance agreement (for the time being at least) as this would be best for kids. i bought house before we were married so the house and mortgage is in my name. I live in Edinburgh so I'm not sure how scots law would view the split of the assets?

now i'm worried my wife will be contacting the CSA and looking for maintenance money from me on top of me paying my mortgage - what would be my rights here?

really stressed out by the thought of it all - i'm happy to pay my way the children but can't afford a mortgage and 20% maintenance payments

thanks in advance

Rich

justme111

May sound like a silly suggestion to you - why don't you formalize financial settlement and divorce. That's what people who split usually do.

r_type

justme111 wrote: »

May sound like a silly suggestion for.you - why don't you formalised financial settlemwmnt and divorce. That's what they usually do.

is that possible if we have only been separated a short time? and what is my wife does not agree..?

Caroline_a

Work out what you would be liable for under CSA rules and pay your wife that. Then if she wants to use it for the mortgage she can. Ensure that you have a record of it (Direct debit labelled 'Maintenance for children' or something). Then if she does go to the CSA you can show that you are already paying. You will not need to pay twice.

r_type

Caroline_a wrote: »

Work out what you would be liable for under CSA rules and pay your wife that. Then if she wants to use it for the mortgage she can. Ensure that you have a record of it (Direct debit labelled 'Maintenance for children' or something). Then if she does go to the CSA you can show that you are already paying. You will not need to pay twice.

thank you for the advice - that arrangement would be ideal but the mortgage is in my name only and paid from my bank account - how would that work? plus the fact the mortgage amount roughly equals what the CSA payment would be anyway (!)

GobbledyGook

With the house and mortgage being in your name only you need to take proper legal advice.

Normally you'd pay CSA and it'd be up to the person living in the house to pay the mortgage, however in your case that isn't going to work. You need to get proper advice and draw up a proper agreement.

rpc

r_type wrote: »

I live in Edinburgh so I'm not sure how scots law would view the split of the assets?

It is the marital assets on the date of separation that matter, the big question is whether the marital home is part of this.

If it was purchased with the intention of you both living there, it might well get included. If you owned it before you met, it may be excluded. You will need a lawyer.

Have a read of http://www.morton-fraser.com/publications/articles/1436_a_guide_to_matrimonial_law_in_scotland_for_family_lawyers_in_england_wales

As the mortgage is in your name only, I would keep paying it. Your wife has no obligation to.

Unless she has renounced them (some lenders require this), she will have occupancy rights as a non-entitled spouse. These last until divorce.

You need legal advice, fortunately Edinburgh has plenty of solicitors.

r_type

rpc wrote: »

It is the marital assets on the date of separation that matter, the big question is whether the marital home is part of this.

If it was purchased with the intention of you both living there, it might well get included. If you owned it before you met, it may be excluded. You will need a lawyer.

Have a read of

As the mortgage is in your name only, I would keep paying it. Your wife has no obligation to.

Unless she has renounced them (some lenders require this), she will have occupancy rights as a non-entitled spouse. These last until divorce.

You need legal advice, fortunately Edinburgh has plenty of solicitors.

thanks - i'll speak to a solicitor...
my wife wants to stay in the house, which i'm prefectly happy with - the house was purchased with intention of us living there, it was just done in my name - i'm not trying take owenership of the assets (although eventually i would want something) but i just worry about having to pay both a mortgage and maintenance and what i can do to stop being in this position...

rpc

The house is likely a marital asset in that case, so its equity should be included in the financial settlement. If she is to retain the house long-term, you should plan to transfer ownership to her (and she would need to raise a mortgage to do this).

If she can't obtain/afford a mortgage, then you would need to consider selling so that she can live somewhere more affordable. The two of you need to pay for two homes now, so a home that was affordable on joint incomes may not be something that either of you can have.

r_type

rpc wrote: »

The house is likely a marital asset in that case, so its equity should be included in the financial settlement. If she is to retain the house long-term, you should plan to transfer ownership to her (and she would need to raise a mortgage to do this).

If she can't obtain/afford a mortgage, then you would need to consider selling so that she can live somewhere more affordable. The two of you need to pay for two homes now, so a home that was affordable on joint incomes may not be something that either of you can have.

i'd love to transfer ownership to allow me to move on but she doesn't think she will be able to get a mortgage. also she wants to stay in house, surely a sale could not be forced if the children remain there..? makes me feel like i'll be stuck in limbo

rpc

r_type wrote: »

i'd love to transfer ownership to allow me to move on but she doesn't think she will be able to get a mortgage. also she wants to stay in house, surely a sale could not be forced if the children remain there..? makes me feel like i'll be stuck in limbo

And this is where you need legal advice and negotiation/mediation/litigation.

A court would not order the kids out onto the street. A court is also highly unlikely to order that you be tied to a mortgage for someone else's home thus leaving you unable to afford your own. Therefore somewhere in the middle is needed.

Living standards must drop when you separate - the same income now needs to support two homes and not one.