Seperation of cohabitees - HELP

16102016

Guest101 wrote: »

You keep saying 30%, but can you prove that.

What's the mortgage, utilities, council tax, additional (e.g. broadband) ?

And what did she pay?

Yes i have a separate account for all household bills - which basically shows both our "bill" money going in & all bills out

16102016

silvercar wrote: »

30% of 8.2k = £2,500

It is worth now what it was when you bought it, so 20k growth between what you paid and its value now. 30% of 20k = 6k.

So there is an argument to be made for a payoff around 8.5k. But if a sale was forced and/or legal action taken money would be lost. I'd say 5k to disappear would be a good compromise.

20k growth if its worth now what I got it for?? Im confused there sorry.... you mean compared to its valuation and what I got it for??

silvercar

16102016 wrote: »

20k growth if its worth now what I got it for?? Im confused there sorry.... you mean compared to its valuation and what I got it for??

You said its worth now what it was worth when you bought it, but you got it 20k below market value. I'm assuming your ex knows its current value and what you paid, so there is a 20k difference. Just because the previous seller let it go 20k under market value, there is no reason for your ex to agree to do the same.

TBagpuss

OK, if the house and mortgage are both in your sole name, then the starting point would be that the property is yours and your ex-partner has no interest in the property.

If your ex-partner seeks to claim that they have an interest in the property they would have to establish not only that they made contributions (that in itself does not automatically given them an interest) but also that there was a joint agreement or joint intention between the two of you that by paying a share of the bills etc. s/he would gain an interest.

So - was this anything you ever discussed?

It might also be relevant to look at the circumstances when they moved in with you. Did they own a property or give up a secure (council) tenancy?


If you want to give them something to reflect the fact that they have contributed, or if you accept that there was a joint intention that their contributions would result in them having an interest, then the appropriate way to look at it would be :

What was the house worth when they moved in, and what was the outstanding mortgage, so what % of the value of the house did you own as equity at that point.

e.g.
House was worth £100,000, mortgage was £80,0000, so you owned 20%.

Then look at what the house is now worth, and what the mortgage is.
e.g.
House now worth £120,000, mortgage £75,000
Your 20% equity is now 20% of £120,000, or £24,000
The total equity is now £45,000

So the equity built up buy the two of you paying the mortgage and buy passive house price rises on that proportion of the value is £45,000 - £24,000 = £21,000.

If you each made equal payments to the mortgage and bills then you might reasonable say that your ex should be entitled to half of that, for £10,500.

If you made unequal payments then you would adjust accordingly - i.e. if you paid twice what they did, then they would get 1/3 of the £21,000 rather than one half.

But they are only entitled to anything at all if there was an agreement or understanding shared by both of you that they would be entitled to a share. There is also a valid argument that they were , in effect, covering their living costs.

It would also be open to you to take a practical approach - how much would they need to pay a deposit and first month rent to move into new accommodation - consider offering that

saajan_12

silvercar wrote: »

30% of 8.2k = £2,500 agreed

It is worth now what it was when you bought it, so 20k growth between what you paid and its value now. 30% of 20k = 6k.

But 20k is the growth in the entire property. Taking 30% of 20k means you're not attributing any growth to the deposit or any capital paid off by OP afterwards.

I would take [30% x 20k x 8.5k/propertyvalue] as partner's share of the growth.

nomoneytoday

With my ex gf, legally I owed her nothing after 7 years.


However, I gave her some money so that she could pay the deposit on a flat, buy a car and move on with her life.

Jenniefour

OP - has your ex partner said anything at all that leads you to believe they want/expect anything from you? It's not clear to me whether your questions are based on what your ex partner might have said, or whether you've read about possible beneficial interest and want to be prepared just in case. Or whether you would like to give ex partner something as goodwill.

saajan_12

Jenniefour wrote: »

OP - has your ex partner said anything at all that leads you to believe they want/expect anything from you? It's not clear to me whether your questions are based on what your ex partner might have said, or whether you've read about possible beneficial interest and want to be prepared just in case. Or whether you would like to give ex partner something as goodwill.

16102016 wrote: »

Wants more than contributed.... as basing it on what the equity in the property is? Despite not contributing towards the deposit etc

answered a while ago, looks like partner does want/expect something (fairly specific)

Guest101

saajan_12 wrote: »

But 20k is the growth in the entire property. Taking 30% of 20k means you're not attributing any growth to the deposit or any capital paid off by OP afterwards.

I would take [30% x 20k x 8.5k/propertyvalue] as partner's share of the growth.

But deposits don't grow?

16102016

nomoneytoday wrote: »

With my ex gf, legally I owed her nothing after 7 years.

However, I gave her some money so that she could pay the deposit on a flat, buy a car and move on with her life.

Did she not pay towards bills when you was with her?