Separation & Negative Equity

tensqueegal

Hi all,

First time posting, I've read a few similar threads but there's a slight difference in my question.

I've been married for 15 years, but we separated at the start of this year. Things have been amicable, most of the time, and we had agreed that my husband would move out (as and when he can afford a deposit on a suitable rental property) and I would keep the house. We were both aware that we were probably in negative equity as there arrears on the mortgage of £2.7k (switched to interest only when I was having wage problems about 4 years ago) and the property is in need of renovation. The agreement was for him to leave as the mortgage is solely in my name, and I'm the only one working - and can afford to pay the mortgage and something off the arrears every month (I've not missed a payment since we separated & went to separate finances).

We have other debts, one of which is Council Tax arrears of approx £3k which has been secured against the property with a charging order. Long story short the arrears went to bailiffs who were most unhelpful when I was unemployed, they've now sent it back to council who have instructed solicitors to initiate forcing a sale of the property - I'm onto this, having got back into work last year and been trying to find someone who would accept my payments off the arrears!

In the meantime I've had the house valued today, as I need to know a) where I stand with regards to the mortgage company & my arrears b) where I stand with regards to the council's charging order and c) where I stand with regards to any equity and the ex moving on. The outstanding mortgage (bearing in mind it's grown due to missed payments & charges) stands now at £67k, and the 2 valuations have been for £45k-£50k as the house is at the moment. Once the renovations have been done the house should be worth £65k-£72k.

So, to my question. I'm perfectly happy to take on the full debt in return for my ex moving out. Is this reasonable? I'm going to be the one paying out the money for the renovation, which is likely to take the next couple of years. My ex seems to think (when he's been drinking) that I'm being unreasonable asking him to move out as I'm the one who wanted the marriage to end - but I'm not asking him to move out and pay me half the negative equity (which I'm assuming I could do, now we know what's what).

Sorry, probably sounds like I'm just venting, but I'd just like to know where I stand.

TIA

hillcats

If the mortgage is in your name only, the debt and the NE is all yours.
You'll need to try and clear the debt as fast as you can so that your credit worthiness can start to heal...

[Deleted User]

hillcats wrote: »

If the mortgage is in your name only, the debt and the NE is all yours.
You'll need to try and clear the debt as fast as you can so that your credit worthiness can start to heal...

It may be seen as a marital debt; best check?

Thrugelmir

Missu wrote: »

It may be seen as a marital debt; best check?

What matters is whose name the debt is in.

densol_2

Marital debts are different to standard debts and could be "shared" if the court on an application for ancillary relief felt it was appropriate. The key issue here is - are there any children involved ?

tensqueegal

Thanks for the responses so far, I had thought that with the mortgage being in my name only it was all down to me - which is why I got the mortgage on my own in the first place as things have been rocky for many years, and I was insistent that I retain the house. I had been under the impression that having the mortgage in my name only was a form of protection that he could never force me out if we split up. However, he has always been of the opinion that he is as entitled to the property as I am as it's a marital asset (or as we now know debt). There are no children involved, thank god.

So if it's a marital debt then he'd be doing well out of it to be able to walk away without my asking him to pay me his half? I've no intentions of actually asking him for anything except for him to leave the house sooner rather than later. If it's not a marital debt and I'm solely responsible, then he has no claim over the property at all & I am completely in my rights to be asking him to move out? I'm starting to think that maybe I need to see a solicitor for clarification.

TrickyDicky101

In practical terms, how will he support himself once he's moved out if he isn't working? He won't get housing benefit for instance as he is making himself voluntarily homeless I believe. I'm not suggesting he should be allowed to remain, just airing a possible problem.

[Deleted User]

OP could you ask for a consultation with a solicitor for a legal opinion? Many do free half hour initial appointments

ethank

If the mortgage is in your name only - then I am assuming that the property is also in your name only.

As such the council tax arrears are also in your name as an owner is the liable person above someone who lives there.

You need to pay off your debts as quickly as possible. You have built up a lot of tax and mortgage arrears. Suggest you get these resolved as soon as possible