Buying house, with partner moving in

letsbetfair

I’m buying a house in Scotland (with a deposit I’ve saved, and me paying the mortgage). My partner and her husband will be moving in. We’ve agreed that they’ll contribute towards bills, along with a rent payment; this will be well below market rate, so they can save up to buy part of the house in the not-too-distant future.


Would them both having lodger agreements (including agreed notice periods) make sense here, for the rent part of this? And any issue with them also paying a share of bills on top of this? I’m not sure if we need anything else in writing (we have agreed house rules). I am getting an updated will drawn up and updating my pension, so my partner should get the house if I go under a bus.


I’ve been with my partner several years and I hope and expect we’ll be together for the long term, but wouldn’t want to lose the house if we do break up. From what I can see, even if it was an acrimonious break up, as a cohabitant she could only claim if she’d suffered a financial disadvantage from the arrangement and I’d gained a financial advantage; I think this would be hard to show, though (she would be paying well below market rent, and would be advantaged by being able to build up savings; we don’t have kids, and I’ll be doing my share of the housework). If I’m missing any financial/legal issues, though, let me know (the information that is online assumes that cohabitants are in couples).


I’m not sure if this is in the right forum – feel free to move if not. I’m sure people will be polite/helpful, but to avoid any doubt it might be worth saying that all three of us know and are happy about our relationships (living together would be really awkward otherwise!)

Pixie5740

letsbetfair wrote: »

I’m buying a house in Scotland (with a deposit I’ve saved, and me paying the mortgage). My partner and her husband will be moving in. We’ve agreed that they’ll contribute towards bills, along with a rent payment; this will be well below market rate, so they can save up to buy part of the house in the not-too-distant future.


Would them both having lodger agreements (including agreed notice periods) make sense here, for the rent part of this? And any issue with them also paying a share of bills on top of this? I’m not sure if we need anything else in writing (we have agreed house rules). I am getting an updated will drawn up and updating my pension, so my partner should get the house if I go under a bus.


I’ve been with my partner several years and I hope and expect we’ll be together for the long term, but wouldn’t want to lose the house if we do break up. From what I can see, even if it was an acrimonious break up, as a cohabitant she could only claim if she’d suffered a financial disadvantage from the arrangement and I’d gained a financial advantage; I think this would be hard to show, though (she would be paying well below market rent, and would be advantaged by being able to build up savings; we don’t have kids, and I’ll be doing my share of the housework). If I’m missing any financial/legal issues, though, let me know (the information that is online assumes that cohabitants are in couples).


I’m not sure if this is in the right forum – feel free to move if not. I’m sure people will be polite/helpful, but to avoid any doubt it might be worth saying that all three of us know and are happy about our relationships (living together would be really awkward otherwise!)

What is she, your partner, whom you are building a life with, or your lodger aka a common law tenant in Scotland? Will you be complying with all the relevant legislation required of a resident landlord and claiming the rent a room allowance? Will your partner be renting a room like common law tenant or sharing a room with you?

letsbetfair

Pixie5740 wrote: »

What is she, your partner, whom you are building a life with, or your lodger aka a common law tenant in Scotland? Will you be complying with all the relevant legislation required of a resident landlord and claiming the rent a room allowance? Will your partner be renting a room like common law tenant or sharing a room with you?

Thankd. Her and her husband will each have their own room, and I will be complying with the relevant legislation for resident landlords (and claiming the rent-a-room allowance). We do hope to build a life together, too.

Mr.Generous

Wow, rather you than me. Awkward.

Red-Squirrel_2

Without wishing to pry, will you and your lodger be a couple and a ‘household’ with her husband as a lodger or is this a situation where all three of you will be one unconventional ‘couple’ and household?

letsbetfair

Red-Squirrel wrote: »

Without wishing to pry, will you and your lodger be a couple and a ‘household’ with her husband as a lodger or is this a situation where all three of you will be one unconventional ‘couple’ and household?

I'm in a relationship with my partner, as is her husband (I'm not dating her husband). We'll each have a bedroom in the house. Does that answer your question, or were you meaning something else?

letsbetfair

Mr.Generous wrote: »

Wow, rather you than me. Awkward.

I'd have thought the same, but it hasnt been so far - hopefully that continues

Pixie5740

letsbetfair wrote: »

Thankd. Her and her husband will each have their own room, and I will be complying with the relevant legislation for resident landlords (and claiming the rent-a-room allowance). We do hope to build a life together, too.

That's kind of contradictory. Either you're living together as one household or you're the landlord and they are both your common law tenants. Have you approached your solicitor for advice on what would be the best set up, co-habitation agreement or common law tenancies? It seems like an either/or scenario to me.

Pixie5740

To give a bit of context I bought a property solely in my name not long after the future Mr Pixie started living with me. When he moved in he wasn't my common law tenant and I didn't charge him rent. The intention was always that this was our home and when it was time to remortgage and he was bought out of/sold the house jointly owned with his ex wife that we would then jointly apply for a mortgage so that we would jointly own our home. I know there's an extra person in your scenario but I think the principles still apply.

davidmcn

I agree with Pixie. I don't think putting them down as lodgers makes any more sense than it would if it were a non-poly relationship. I wouldn't be overly concerned about them gaining any unexpected rights while the property remains in your sole name. You should consider Wills (sorry, you already have - they should too though if/when they become owners of the house), and also that their marriage implies rights between them which might complicate things if you come to share ownership of the house with them.

letsbetfair

Pixie5740 wrote: »

That's kind of contradictory. Either you're living together as one household or you're the landlord and they are both your common law tenants. Have you approached your solicitor for advice on what would be the best set up, co-habitation agreement or common law tenancies? It seems like an either/or scenario to me.

My solicitor wasn't able to advise - this Isn't their expertise - but thought common law tenancies might work.

I take your point about your now husband. Not charging rent would mean me supporting two adults, though, which seems a big ask (and hopefully this arrangement will work well for all).