How to protect house against new partner's possible claim

paddy's_mum

Morning all. I ask about this on behalf of one of my daughters. She owns her own home and in her own right has been paying the mortgage for the last 13 years. She has worked extremely hard to do so, and provide for the children. She has two boys (aged 8 and 6) and was well and truly financially clobbered by their father when that relationship broke up.

Wind forward to now and she is in a happy and stable courtship of nearly a year's standing with a chap that all the family (from the boys up to great grandmother) feel to be hardworking, honest and, perhaps most important of all, kind to her. They would now like to have him move into her house with her on a more permanent footing, though as both have had their fingers badly burned in the past, they are nowhere near thinking of marriage yet.

Since the new chap does not own his own home, there are reservations as to what her position would be if, say five years down the line, they break up. Would he have a claim to her property, since it would have been his home? Their feelings are genuine and he has already said that he is more than willing to sign any kind of document to protect her position. Would some kind of 'pre-nup' help?

This is not a case of attempting to thwart the law or going into a new partnership with hidden feelings of contempt but as she so rightly puts it, in ten years time, she could have been paying a mortgage for almost 25 years and still end up no further on than she was at the beginning, with many more years of paying out to do.

Anybody got any advice or experience they care to offer? Many thanks.

Running_Horse

Glad I never "protected" my house against my new wife. As far as I know pre-nuptual agreements have no force in law, and would soon be overturned by any court who would make any decision based on contributions etc.

daphne_descends

Potentially he would have a claim. RH is right, pre-nups mean nothing in this country.

Ask in the house buying/renting/selling forum for a bit more detail.

It's wise to think about these things, though - a colleague of mine owned a holiday flat, which he'd paid the mortgage off before even meeting his (now ex) wife. Somehow she got half of it in the divorce, and they have no children. I don't know how that is fair, but there you go.

Alias_Omega

i would think though if they did, a valuation on the house of moving in would be taken, then a house valuation a time of the split, the increase value would be halfed, and she would have to pay him that share.

MXW

When I met my (now) ex husband I owned my own home and he moved in with me. We planned to get married and have kids so I put his name on the mortgage, 7 years later he had an affair and left me with no money and two children to bring up. He then tried to get half of the value of the house (which he would have been entitled to as we were married and I had put his name on the mortgage) After a very long and costly court case the judge ruled in my favour and he didn't get half the house. I have since then struggled to bring up two children alone, pay the bills and keep a roof over my childrens heads. I may be very cynical (as i am still in the middle of a court case with my ex) but I would be very very careful if I were your daughter to protect the interests of the children. I would not move anyone in without first seeking legal advise. My ex would have left my children homeless if he had got his way and is still trying to. Your daughters partner may be loving and honest (my ex husband was just the same) but no one can say what will happen down the line, the children are not his and he has no legal obligation to keep a roof over their heads (as far as I know) I really wish your daughter well in her new life, but would advise her to seek legal advise. From what you say her new partner is happy to sign some form of legal agreement, so I would go down that road. Good luck to her x

paddy's_mum

Thanks for your comments MXW. What happened to you (how dreadful a time that must have been!) is exactly what we would like to guard against, if it is possible to do so. None of us wish the romance ill - in fact, we all like him very much - but as you so rightly observe, my grandsons potentially also stand to be severely disadvantaged if it all went badly wrong.

Added to this, her father and I gave her quite a leg up when she first bought a house, and other members of the family have continued to contribute in various ways, as and when.

Picking up on Running Horse's comment - what do courts decide is a 'contribution' in deciding a potential issue like this?

I agree - good legal advice is the best way forward. Thank you for all comments.

Running_Horse

I'm not a lawyer, so large pinch of salt required. I understand contribution can range from washing up, to changing nappies, to paying bills, to paying mortgage. Basically everything involved in sharing a life, and so it should be. Such rules being brought in to value the contribution traditionally brought by the woman. I believe their marital status will affect things, but there are noises from government about changing this to give cohabitees more protection.

Noctu

Paddy's Mum,

What your daughter needs is a cohabitation agreement. See here: http://www.amazon.co.uk/Cohabitation-Agreement-Unmarried-Partners-Legal/dp/1898217734/ref=sr_1_2/202-1119161-0846256?ie=UTF8&s=books&qid=1189439091&sr=8-2 It would be a good idea to have a solicitor look over these forms when they are filled out, just to make it watertight.

I was in exactly the same position - my boyfriend owns his own home, and I live here. However as we are talking about marriage, we feel we don't need to sort anything legal out now.

Hope you get it sorted out - remember, if they're not talking about marriage now, they may in the future.. which may negate anything like this anyway.

paddy's_mum

Well, talk about coincidence. My daughter telephoned her solicitor's office this afternoon to book an appointment for legal advice on her position. During the conversation, the solicitor herself came on the line and in a few moments conversation, reassured my daughter that action to protect the position of herself and her children could be taken. It is called a Cohabitation Agreement, exactly as Noctu has said.

She and her boyfriend are now to discuss exactly what form their 'contract' should take but both appear happy to resolve any uncertainty in this manner.

Running Horse - thank you for your further comments. I am of the generation helped to achieve equality in life/marriage/relationships by the late Lord Denning, and his ground breaking rulings. When I was a young woman, there was tremendously unfair legislation in place and I supported moves to correct that imbalance. However (like fac73) I now think it has gone too far the other way and perhaps that also needs to be addressed by the powers that be.