Document money given to child

BATDAN

Hi,

My partners mother wishes to give us £30,000 towards a deposit on our first house. However she wishes to have this documented in such a way that if the relationship were to break down prior to marriage my partner/her mother would get the full £30,000 back prior to dividing any other funds that come from the property at the time.

I'm more than happy to agree to this. Does anyone know if we must engage a solicitor to do this? Or will a a formal letter signed by all parties be sufficient?

fairyloveheart

You'd need a declaration of trust drawn up by a solicitor I believe!

Pixie5740

I think to get a mortgage then she would have to gift you, or rather your partner the £30k otherwise the lender might not accept it.

tlc678910

I wonder if it would be easier legally (if your partner's mother was happy with the arrangement of course) if the money was gifted to your partner (alone) and the legal agreement put into place was that your partner owned that portion of the house and on separation/sale it would be returned to them before other equity is split.

amnblog

Speak to your solicitor about a deed of trust in the event of sale.

The funds from your partners mother must be a gift to her however.