Marriage ending, mortgage options?

x_raphael_xx

Found out yesterday my wife has met someone else, and she's leaving me. We're both happy to keep things amiable but we're not sure what to do about the house.

If one was to buy out the other, how do we go about this? House was bought 4 years ago for £99,000. Current value is around £108,269 according to a quick web valuation. How much will I have to find to buy her out?

Thanks

Thrugelmir

Can you obtain a mortgage in your sole name should be your first question?

Given the costs and hassle if you were to sell the property. Any consideration paid should be minimal.

ACG

How much is outstanding on the mortgage?
Did you both put down half of the deposit each or...?

You would usually say 50% of the equity give or take but that assumes you have both contributed half towards the mortgage/bills etc or someone paid the bills whilst the other looked after the family/home etc.

Bit of a difficult one without knowing more but I suppose its something you would need to sort out between you there is no one rule fits all.

x_raphael_xx

We both pay 50% of the mortgage and all bills etc, we have about 20 years left.
She paid all the deposit.

[Deleted User]

How much is equity? And how much is outstanding mortgage?

ACG

In that case, I would say 50% of the equity plus the deposit she put in.

So your mortgage would be however much is outstanding + her deposit + 50% of the equity... But you may agree something different to that.

bristol_pilot

Are there any kids?

x_raphael_xx

Domino9 wrote: »

How much is equity? And how much is outstanding mortgage?

Not quite sure yet, she's going to ring the mortgage provider in the morning.

bristol_pilot wrote: »

Are there any kids?

No kids

PeacefulWaters

Opening offer:

"I'll pay the legal fees and lender fee for the transfer of ownership and you can walk away from your marriage and debt without any money or fuss".

It's a long shot. But worth a try. Play on the guilt.

HappyMJ

Don't use those web valuations. You'll need a proper valuation which she should be paying for as she is forcing the matter. The potential costs of sale should also be taken into account. Many would use 10% as an estimate so you deduct that off the valuation and offer her half the remaining equity. I'd offer her a little more if she paid the whole deposit....but the she's leaving you so I say consider fighting and she then gets nothing. Solicitor fees would easily consume any equity. Hope you can get a mortgage in your own name...it's not that high a price so as long as you earn a bit more than minimum wage and work full time with a good credit rating then you should be OK.

x_raphael_xx

thanks for the advice guys. I'll talk it over with her and the mortgage people, see how it goes