Buying ex out of property

Lisamm2502

Ok so quick overview for advice.

Me and my ex own a mortgaged house. We put it on the market and have an offer for £127000.
Mortgage is £107,000 however the redemption figure is £114000. Minus solicitor fees we would get roughly £4900 each from the sale.

Since the offer I have looked into buying him out. I can get a mortgage for £107,000 to cover the mortgage and I will borrow the monwy for his share off my family. He is now asking for £4900 as he claims that's his share due to the offer. The mortgage company and estate agent value the property as £125,000. Can he really demand £4,900?
If the offer falls through then he can't really say that £4,900 is he share as the property is valued at £125000.
We are also not married and he is moving into his late mothers house. Any advice?

Pixie5740

He can pretty much demand what he likes and you are free to accept it or not. He has to agree to sell it to you or you both need to agree to sell it to whomever offered £127k. Has this person who offered £127k had a home report carried out yet? It might come back saying the property is only worth £125k too.

My advice would be to meet him half way just to be rid of him, or to sell it to the person offering £127k and then go your separate ways,

molerat

If, by selling the property to a third party, he will end up with £4900 why should it be any different if you buy the house. Market value is determined by what someone will pay for it, not by what an estate agent values it at. You seem to want to buy at below market value. The other way is to get another two independent valuations and use the average for the value but as you have already had an offer he could dispute it.

antrobus

Lisamm2502 wrote: »

... We are also not married and he is moving into his late mothers house. Any advice?

Half of £125,000 less £107,000 is £9,000. That's what I'd be asking for.

Lisamm2502

If the sale falls through though how could he say he is entitled to £4,900? Surely we would have to go on an independent valuation

Pixie5740

Why would it fall through? The buyer pulling out for some reason or because you'd put the kibosh on the sale since both of you need to agree to it. If it's the former than yes he might be more willing to negotiate, if it's the latter you'll probably just pee him off.

[Deleted User]

It's half yours and half his. He doesn't have to sell his half to you and you don't have to buy his half if you don't like the price.

As the house will hold memories for you, possibly you should consider the advice Pixie gave - sell the house, go your separate ways and start over? There is a positive to you staying put - you know the house and what's wrong with it, you won't have the hassle of moving etc.

Best wishes whatever you decide .....

dancingfairy

The difference in valuations is tiny if we are only talking 2k. Split in half you are talking about 1k extra? In the grand scheme of house buying and selling and mortgage and solicitor fees this is nothing.
Bearing in mind your ex could start being difficult/ refusing to sell etc ( and the fact you are still currently linked financially) you might find that however galling it is that you decide it's a small price to pay to separate everything.
On the other hand there is nothing to stop you negotiating if you want to.v
Good luck getting it all sorted.
When the house is sorted you might want to look at getting notices of disassociation served on your credit files?
Df

TBagpuss

His request is reasonable. You have a buyer ready to buy at a price which will leave you each with £4,900.
If you want him to sell to you instead of to that 3rd party you need to pay him £4,900. Why would he accept less?

You're still likely to save money compared with selling the house to the third party as you will save on moving costs etc, not to mention having a lot less hassle.

If you think that the third party buyer will pull out, then bu all means sit tight, wait for that to happen and then offer your ex £1,000 less. And accept that if the sale goes through, you each get £4,900 and you will have to move out.

Thrugelmir

If you ultimately remain in the property you are getting the better half of the deal. Far less hassle than moving out and starting out all over again.

[Deleted User]

Remember also the cost and inconvenience of moving out. Would you go to a private rental? If you purchased another house, there'd be SDLT to worry about, solicitor fees, estate agent fees etc.

Will cost you a lot more I'd have thought but you'd have a house with no memories.