Moving in with boyfriend and Cohabitation agreement

AnnaNd_2

Hi, I was wondering if I could get some advice. I bought a flat (by myself) recently and want to ask boyfriend to move in with me. We are very much in love and already planning our future together. However I want to be realistic and protect my property in case things go bad in the future. I am planning to ask him to pay me say £500 monthly 'rent' which would cover his 50% share of bills, then £50 for wear & tear and the remaining £300 I would put in a separate bank account and keep it as our wedding pot so that if we stay together and get married it would be a helpful addition to the wedding budget. That way I won't feel that he's freeloading but more importantly I can show that he was not contributing to my mortgage repayments and so can't claim interest in my property, right?
I would also like him to sign some sort of cohabitation agreement saying he will not claim interest in the property. Thing is those agreements are quite expensive and apparently we both need to get independent legal advice. Can't I just create my own agreement and we both sign it and get witnesses to sign it? Will it stand legally? I am only doing this as a tick as I trust he wouldn't go after what's not his so don't really want to spend much. Thanks for your advice.

PasturesNew

It might be "cleaner" to just go halves on the bills and get him to set up his own new bank account to pay a monthly amount into and never touch. That money can then be either your wedding money fund.... or his running/leaving you fund. His money, but he doesn't "walk with nothing" if he goes - and he doesn't "stay with you as he can't afford to leave" either.

gycraig_2

Do you want him to pay 500 but your gonna keep the 300 separate so he isn't paying your mortgage but it's only gonna get spent on a wedding ?. If you don't get married does he get a refund on what he's paid extra ?

You don't get to disguise it like this he's either paying bills or he's paying towards the mortgage, if he's paying more than bills to you he's gain a beneficial interest

Comms69

Indeed you don’t claim £300 in a marriage pot, when in reality he won’t get a return should you break up.

MobileSaver

AnnaNd wrote: »

then £50 for wear & tear ... I would also like him to sign some sort of cohabitation agreement saying he will not claim interest in the property.

Let's say you are together for 5 or 10 years and then for whatever reason split... are you saying in all that time he will never ever do anything that benefits the property? E.g. no painting and decorating, small repairs, absolutely no contribution to updating the kitchen or bathroom etc.? (the "wear and tear" payment would seem to suggest he is contributing.)

My own view is that if you are living together for any significant amount of time (e.g. say over a year) then he should be entitled to a share of any increase in the value of the property although not a share of the value of the property.

The "wedding pot" idea is crazy unless you are also putting an extra £300 into it every month and it's a joint account in both your names.

parkrunner

If I was living with someone we would share everything from the moving in together date. The only caveats would be whoever paid the mortgage deposit keeps it if the couple separate and the property is valued at the time of cohabiting and any increase in the value of the property from that point is evenly split between the two parties.

diggingdude

Runaway partner

Marvel1

Are you paying £300 also into the wedding fund?

Would he get back what he put in if you split before getting married?

Is the £300 going into an account in your name only or joint?

Bills - a lot easier to split 50/50, random figures:
Broadband: £25 - so it's £12.50 each
TV Licence: £12 - so it's £6 each.

General_Applause

I think you are too paranoid to get married, unless you both keep on your respective residences.


Even then, I doubt that you trust him.

antrobus

AnnaNd wrote: »

....
I would also like him to sign some sort of cohabitation agreement saying he will not claim interest in the property. Thing is those agreements are quite expensive and apparently we both need to get independent legal advice. Can't I just create my own agreement and we both sign it and get witnesses to sign it? Will it stand legally? I am only doing this as a tick as I trust he wouldn't go after what's not his so don't really want to spend much. Thanks for your advice.

You can draw up a "no-nup" agreement by downloading ready-made cohabitation agreement templates with guidance notes, usually drafted by a family law solicitor, from online legal publishers such as Lawpack.co.uk and Netlawman.co.uk for £10-£15. But for any agreement to stand a chance of being upheld by the courts, both parties must each take independent legal advice and there can be no mistakes in the agreement.

https://www.theguardian.com/money/2013/mar/09/cohabitation-agreement-essential-non-married-couples

P.S. If I was your boyfriend I'd also want a cohabitation agreement to ensure I got back my 'wedding pot' should no marriage take place.:)

TBagpuss

A cohabitation agreement is a sensible option, but it's a false economy to try to DIY it.

His not paying directly to the mortgage doesn't necessarily stop his having, or claiming, a share of the property. He wold be freeing up your money to pay the mortgage, and the issue is what you both agreed or understood . The cohabitation agreements gives you documented proof of what you agreed.

It carries less weight as time goes on (unless you review iit and update it) , but that is perhaps not a major issue, as presumably you are most concerned about what would happen if things fell apart in the early stages of the relationship.

Another option would be for you to have an agreement which stated what % of the property value you currently own (i.e. how much equity you have), then split everything, mortgage and bills, equally. If you wanted, you could explicitly provide that you have first refusal if you split up (i.e. you can buy him out, rather than having a forced sale) Then put the money you save through him paying have the costs, into a savings account. If things go per shaped, you keep those savings (and can use them to buy him out, if need be). If they go well, you can use those savings, or some of them, towards a wedding.