Buying my brother out.

Carl2510

Afternoon, basically I’m looking to buy my brother out of the mortgage we own together my mum also lives in the house, he put zero deposit down. And has only contributed to the monthly payments of house hold bills such as gas and electric, water rates sky those type of things and my mum has been paying the actual mortgage payment. So what am I enititled to give him. If I was to try buy him ours plus I’m also not sure on the process of buying someone out.

Thank you for your help.

VintageHistorian

Just to clarify - he is jointly on the mortgage with you, but had never actually paid anything towards the mortgage payments? Do they all go out of your account, or a joint account in both your names?

steampowered

The first thing you should do is check your papers to see if there was a "deed of trust" or similar document signed when you purchased the property.

If there was not any deed of trust signed, then you would need to try and agree with your brother what his share should be or see a solicitor if you are unsure.

As your brother is a co-owner of the property, he might not be happy seeing all of his payments being allocated towards household bills only and not towards the mortgage.

Before you can buy-out your brother, you will need to remortgage. The bank will have to agree for your brother to come off the mortgage, and will need to be happy that you can pass the bank's affordability checks on your own. You will probably need a solicitor to help you.

G_M

Is he just on the mortgage, or is he also a joint owner?

If joint owner, do you (all 3?) own as Joint Tenants or Tenants In Common?

What did you all agree when the mortgage was taken out?

What documentation (eg a Deed of Trust) was put in place?


What are the financial details:
* value of property when bought (or relevant mortgage taken out)?
* current value?
* current outstanding mortgage?
* who contributed how much at purchase?
* who has paid how much towards mortgage?
* who has paid how much towardsrepairs/maintenance?
* any other related costs?

Carl2510

We have a Deed if trust, basically I get my full deposit in the sale of the house and we then split 50/50 with what’s left. It’s me and my brother on the mortgage but we let my mother stay with us. And she pays the mortgage as she wants to help out. And then me and my brother just pay rest of the bills.

Carl2510

All bills come out of my account.

AnotherJoe

I don't understand why you aren't asking about buying your mum out since it's her who is paying the mortgage not your brother?
Why do you or your brother think he owns any % of the house since all he does is pay for service he uses? And why do you think you own any % of the house expect for whatever your deposit was?

Carl2510

I couldn’t afford the house on my own so I got my brother to put his name on it as well. And I said to my mum come live with us and instead of paying someone else’s rent as she was renting just pay the mortgage as it was cheaper anyway. My mum doesn’t have any % if the house in her name. My plan is to rent it out at some point.

AnotherJoe

So back to your brother then, why do you think you should pay anything other than what's in your agreement? Are you looking to renege?

Carl2510

I guess I just assumed I had to since he’s on the deed.

gettingtheresometime

Does he want to sell?