Remortgaging to buy partner out

FK01

Hi all. New here and not sure if I have come to the right place, but really looking at my options as well as where I stand legally.

Potentially relationship is going to break down and I'm extremely confused as to my options regarding our house. We have lived in our bought property for 15 months, although lived together another year and a bit prior to that in his home and have been together over 6 years.

Current mortgage value is 146000. We still owe 128000. My partner paid £9000 more towards the deposit due being able to use his previous property. For this reason we set up an agreement that should we split, he is entitled to this, before any equity and other costs/value is split. We pay equally into the bills and mortgage, including renovations.

The house with the work we've done and recent price rises is now worth close to £155000.

The problem is if we split, he is in a far better financial situation than myself due to this. However the area we now live in is somewhere I want to continue living as I've made a home here, live close to work etc. He would probably happily move nearer to home again given the chance. I know though that with him he won't negotiate and coming to an agreement based on this. He will want his money back (and rightly so) and will not take into account my emotional and social connection to the area.

For reference, as I assume it will have an impact, we both have salaries of around £31000.

We both have little savings at the moment due to recent house renovations and so I cannot turn around and offer him the full amount he paid in and would want. I also would need to consider the fact I would need to add half of the money we have already paid in to his initial deposit, so probably looking at the £15000 range (I think).

We are not married and have no kids. I know what the answer is likely to be, but would I absolutely stand a chance at remortgaging or other to be able to buy him out and stay in the property? This is my first mortgage so I am feeling a little lost in the midst of it all on top of my current personal situation.

Thanks in advance.

TBagpuss

OK, so the house is worth around £155,000
Less mortgage of £128,000 and notional costs of sale of 2.5%.

So the current net equity is around £23,125.

If you want to buy him out, you will need to pay him £9,000 (original investment as per agreement) plus £7,062 (50% of balance) so you would need to pay him a total of £16,062.

You would also need to get him released from the mortgage so you would have to remortgage. So your total mortgage requirement would be around £144,000 *£128k + £16K)

That is over 4.5 times your salary so it seems unlikely that anyone is going to willing to lend you that amount, and you would probably be over extending yourself if they would.

On your salary it might be more realistic for you to get a mortgage of around £110K - if the house were sold you would have about £7K (plus any savings you may have) Would £117K allow you to buy a flat so you could stay in the same area?

What are rental costs like? Presumably you could look for somewhere to rent if it is not possible for you to buy, so you can still stay in the area.

FK01

Unfortunately the house prices in the area start at about £125000, and that is for a new build one bed flat (which if I could stay in the area I would be fine with for a year or two). I have looked at places within a 5 mile radius but everywhere sells very quickly!

I am not keen to rent, so it would be an absolute last resort. Prices for rental around here start at about £500 per month, with most being more.

I honestly am devastated at the potential thought of leaving the area or house. Aside from looking for a smaller property/bigger radius, is there absolutely any other options I can explore?