House deeds attached charge

carlx7x7x7

Hi, 5 years ago I agreed buy a friend’s house. My name was put onto the deeds and land registery. My friend put the cost of the house as a charge on the deeds, The charge agreement states that the first 2 years would be interest payments only of 3% above BoE base rate and after 2 years a new repayment agreement would be done.. There are no dates or specifics on the initial charge agreement except interest only for 2 years.

After two years no new agreement had been drawn up and my friend and I verbally agreed that we would continue with the interest only payments.


Unfortunately 3 months ago my friend died and he did not leave a will. Because there is no will his son has had to apply to gain legal "probate and new have inherited the charge agreement.

He noticed that no new mortgage agreement had been drawn up after the first two year agreement expired so he has decided to formulate his own 25 year mortgage agreement and he sent it to me by email recently. This new proposed mortgage agreement increases my monthly payments by hundreds of pounds and he also wants back pay for the past 3 years where I have only been paying the interest as agreed with my friend who died.

I am so concerned about where I stand legally right now, I have had people telling me that because my name is on the deeds to the house I am quite secure, I have had other people saying that because no new agreement was made after the initial 2 year agreement ended that there is no agreement in existence anymore.

Can somebody please help me out and explaining how important it is that my name is on the title deeds, if it is relevant that the initial mortgage agreement only details the first 2 years and no new agreement was made after that.

Enterprise_1701C

I think you need to talk to either a solicitor or the CAB.

A verbal contract was made in the agreement that you would continue with the interest payments.

If worse comes to worse, can you get a mortgage to buy the house?

There is no way he can justify the back payment, it sounds like he wants you out of the house to me.

Funny_old_game

Pretty sure this is very similar if not IDENTICAL to a thread a couple if days ago.

Thrugelmir

Funny_old_game wrote: »

Pretty sure this is very similar if not IDENTICAL to a thread a couple if days ago.

Why the new thread?

Funny_old_game

Probably no one with all the details and legal skills were able to answer T.

anselld

Funny_old_game wrote: »

Pretty sure this is very similar if not IDENTICAL to a thread a couple if days ago.

https://forums.moneysavingexpert.com/discussion/5048328