could this cause a financial association?

anna42hmr

I am looking to purchase a flat, for which i will be paying the mortgage and be in my name, however my brother will also be moving in with me.

To keep costs lower and equal for both we have an agreement where mortgage will be paid by me and he will be paying the bills and in his name (gas electric water etc), up to the equivalent i am paying for the mortgage and will split difference.

So for example if mortgage is £450 a month bills are only £300 a month he will then give him the £75 so we both then pay the same amount a month (or visa versa) but could this cause a financial association if the mortgage is in my name and the bills are in his? also would it link us with regards to both being on electoral roll there.

LplateSaver

From what I've read no because you won't have any joint accounts. Sole mortgage, sole electric etc.

CKhalvashi

As nothing is in joint names, there will be no association.

Think of it in the same terms as a landlord/tenant arrangement; one has a mortgage, one pays the bills but there is no connection

anna42hmr

Thanks for the replies, i appreciate the help. yes we intend to keep it all separate so that clears matters up.

HappyMJ

anna42hmr wrote: »

Thanks for the replies, i appreciate the help. yes we intend to keep it all separate so that clears matters up.

The council may without further information put the bill in both your names so make sure you tell them you are responsible for the whole bill as the owner of the property.

Your brother could get a beneficial interest in the property by paying a figure linked to your mortgage payments.

You would be better off having him as a lodger having all the bills in your name and charging him a weekly figure which covers your expenses. As long as the amount including expenses is under the rent a room scheme allowance (£4,250 per year-£81.73 per week) you won't have any tax to pay.

CKhalvashi

HappyMJ wrote: »

Your brother could get a beneficial interest in the property by paying a figure linked to your mortgage payments.

He can make a contract with OP to give him no claim on the property.

Doesn't need to be drawn up by a solicitor, just something in writing (and signed) to confirm this, that can be used if he tries to make a fuss.