Buying Half of my Partners home

Thomastick

I've just sold my house and want to buy half my partners house. Both homes were fully owned with no mortgage and half the house is worth £240,000. Can i just add my name to the deeds and give my partner the money?

ACG

Have you spoken to a solicitor?
It would be wise to speak to one.

SmashedAvacado

Does your partner have a mortgage?

hazyjo

My friend's just going through a messy divorce after her husband left her. She allowed him to buy into her flat - she was absolutely 100% sure it was forever. The flat has gone up substantially and she's having to find over £150k to now buy him out.


Just saying... it may be better investing it elsewhere. Are you likely to buy together in the near or distant future? Have you been together for long?

pimento

SmashedAvacado wrote: »

Does your partner have a mortgage?

"Both homes were fully owned with no mortgage ..."


We did this last year. I had a small mortgage which my partner (now husband) paid off. We used a solicitor to write wills and prepare a declaration of trust. They also dealt with the Land Registry stuff (although, I understand that it's fairly easy to do this yourself).

Pixie5740

Thomastick wrote: »

I've just sold my house and want to buy half my partners house. Both homes were fully owned with no mortgage and half the house is worth £240,000. Can i just add my name to the deeds and give my partner the money?

You fill in some form(s) with the Land Registry to change the ownership. You will need to decide whether to own as Joint Tenants or Tenants in Common. There will also be SDLT to pay.

PasturesNew

Why would you do that?

You're not married, so you're complicating things should there be a falling out in the future.

How long have you been together?

Anything can happen .... have you thought it through how you'd split up in, say, 5 years' time, if it didn't work out?

xylophone

I would do this through a solicitor and make sure that a Deed of Trust is drawn up to protect both of you in the event that the relationship comes to an end.

How will you own - as joint tenants? As tenants -in- common?

https://realestate.findlaw.com/buying-a-home/difference-between-joint-tenancy-and-tenancy-in-common.html

https://www.gov.uk/guidance/sdlt-transferring-ownership-of-land-or-property

Thomastick

Thanks for all the valuable comments. We are going to get a legal agreement drawn up and will look to be tennants in Common. I was concerned what would happen when i transfered the money into my partners account, whether it may be liable to income tax.

agrinnall

Thomastick wrote: »

I was concerned what would happen when i transfered the money into my partners account, whether it may be liable to income tax.

No, because it's not income. If it was a house that your partner wasn't living in then they might be liable to CGT, but income tax is never going to be an issue.

xylophone

whether it may be liable to income tax.

Your partner is receiving capital not income so there is no question of income tax.

The transaction is in respect of his PPR so no Capital Gains Tax considerations either.