Sole mortgage but gifted deposit from common law

Meechmouse

Just to add the mortgage was through a broker and she was aware of our situation also Halifax is aware that I will be living in the property and that the deposit is from the proceeds of a joint house sale, they have asked questions why I am not also going to the mortgage and they are aware of my ccj however I don't think they were aware of the money from my savings I did provide my brokers this information but I don't think she has mentioned it due to the majority of the deposit coming from the house sale.

Ive never omitted to saying that I would not be living in the property!! And Halifax know that the deposit is coming from the joint house sale but there is an extra 15k from my personal savings going towards the deposit that i did disclose this to the mortgage broker ive never kept any information back at all. The question I asked this thread are specifiic to the the deposit I did give fact regarding the deed of trust which raised questions regards the deed of trust and that is why I posted another question on a different thread. Sorry if you think im asking the same question but there's my exploration

Meechmouse

Newbiebiyer2016 can you please provide me with your contact detailed for future reference i could probably do with a chat if this mortgage gets withdrawn to see where I can go from here thanks

AnotherJoe

The problem is the "different question" you posted omits pretty much all the detailed and required info you've posted here and is therefore not useful to you. The question says it's a gifted deposit (it's not) omits the fact you'll be living in the house (crucial) and so on.

Really you seem to be heading down a road where you are close to getting the answer one way or another quite soon and no one here can do anything more than voice an opinion, but the only opinion that matters is Halifax's.

As to the question about a trust to safeguard your deposit, as you know yes you can have one. Things you might want to consider are under what circumstances you can get your deposit back ( fir examole, can you force a sale) and did you want your deposit back, or with interest or prorated according to the value of the house (eg if house rises by 50% you get back 50% on your deposit and not merely the original sum. Were these the type of questions you had or were you just asking if it's possible?

Finally can I presume you have not signed a document stating to Halifax that this deposit is a gift? Because if you have that is dodgy as it clearly isn't. Your initial posts indicated that you had done that ("I have signed I have no interest in the property") but now it seems not? Can you see the confusion?

Meechmouse

Sorry if its confusing Im confused myself. All that is Stated in the deed is that I would get back the money that I have contributed after the mortgage is payed off there is no percentage etc.. I have signed a document to say that if the house was to be repossed that I would vacate. I have not signed any document regards a gift deposit or submitted a letter stating that this is a gift as yet. I know my post mentioned gift deposit but as I am away thats what this deposit would come under that category??? If im wrong please correct me im only afyer advice I will be ringing solicitor first thing Monday but obviously their closed for the weekend and I'm worried and just want to know facts / experiances. This is all so stressful im probably not doing myself any favours by posting threads ;-)

Meechmouse

Just want to add that when I brought the house im currently in we had a mortgage this was in my partners sole name I provided the deposit from the sale of my house which was own soley by myself we did have a deed of trust and everything went through like a normal transaction. This is whu im confused why may be an issue now?? May be tighter regulations? This was 5 years ago

getmore4less

You need a better trust deed what you have said is a very poor way to safeguard your investment.

AnotherJoe

know my post mentioned gift deposit but as I am away thats what this deposit would come under that category??

---

"As I am away" ??? What does that mean? I don't understand.
The money is plainly not a gift so it's confusing to continually refer to it as that.
When you said "I have signed that I have no interest in the property" is that what you also meant by signing that you "would vacate if the house was repossessed "? These are very different things. The latter I understand why Halifax would want that and it's a good sign they will proceed. It's a very different thing from what you originally stated about signing you had no interest in the property. You have aprox 3/4 interest in the property ! See maths below.


Make sure the next deed of trust you sign takes into account any increase in house value.
I think you wrote that you are putting in £160k of your own money. So you are contributing 160/215 = 74% of the value. Imagine the house, over say 15 years doubles in price and then you have an acrimonious divorce. You now get back your £160k but that's only 37% of the value of the house.

So when you are looking to buy another house with that money, its value has effectively halved. You'd need to get back 74% =£318 just to stand still in relative terms. Whoever advise the wording on the previous DoT did a lousy job looking after your interests.

getmore4less

There is also the need to protect any interest if the plan is to both contribute to the mortgage.

Chances are the previous trust deed got it wrong as well.

Also trust deeds need to cover exit strategies and this new one needs to be written in anticipation of a marriage.

Along with appropriate wills.

warby68

Totally confused why OP is not going on deeds/mortgage but seems to be stumping up about 70% of the property cost. If that's her share (apart from £15k savings) why do they need a mortgage at all ? Shouldn't his share provide the balance or did she have an interest in nearly all the previous property.

Sometimes OP refers to the previous property as their joint asset and sometimes as sole with a trust deed.

The whole thing seems a little unclear for advice to be given.

What other reasons are there for setting things up like this as the expiring CCJ and income don't seem to prohibit a mortgage?

Mojisola

getmore4less wrote: »

Along with appropriate wills.

As you aren't married, wills are vital.

OP - if your partner died, you would not inherit from him. His estate - including your home - would go to his blood relatives.