Family property dilemma

Grandmasterg

Around 10 years ago my mother reduced a house price by 2/5 to allow me and my girlfriend at the time to get our first family home (this is evidenced in the original mortgage documentation). We split some years ago and since then the property has gone up in value quite significantly.

After years of no contact I recently received a letter demanding that either the property is sold or I have to hand over half of the current value. I have responded with an offer of half of 3/5 (inline with the original reduction) of the current property value or half of the value of the property when she left as they are relatively similar amounts. I thought that these seemed reasonable terms but they have been rebuffed in no uncertain terms. A local solicitor suggested it sounds like a bit of a 50/50 case if taken to court which doesn’t seem great.

Is anyone aware of any judicial precedent in this area?!? :mad:

HampshireH

No deed of trust? 50/50 isn't an unreasonable starting point.

Is it mortgaged in joint names? I assume if so then you have been solely paying for it?

Doesn't sound like your ex is all that bothered by being reasonable....

markin

Selling back at the time would have been the wisest thing to do. How long did she live and pay and how long have you paid it alone?

xylophone

Ten years ago your mother sold you and your girlfriend a house for 3/5 of its value.

In effect she made you both an unconditional gift?

Presumably you both then moved in and contributed to the payment of the mortgage.

Presumably you and the girlfriend still legally own the property either as joint tenants or as tenants-in common on a fifty/fifty basis?

It would seem that at some point she ceased making any contribution to the mortgage or to the upkeep of the property.

You might negotiate a reduction in the amount she is to receive because of her failure to contribute for a number of years but it seems that you must accept that she has the right to consider that your mother made you a joint gift.

AdrianC

So in ~2009, you and now-ex purchased the property for 60% of market value.
How did you then own it? Joint tenants? Tenants in common?
Was the mortgage for 100% of the purchase price? Or how was any equity funded?

You split "some years ago" - let's say 2014? So 5yrs living there joint, now 5yrs apart. But you're still joint owners?

Was the property mortgaged at the time? Has she continued to pay into the mortgage?

Sounds like she's after having cake + eating cake.

Elise1912

Did you both contribute equally to the purchase price, deposit/mortgage etc? How long did you live there for with your ex girlfriend?

Tom99

You have been living in her half of the property as well as your half for the past few years. Could she have asked rent from you for her half?
If she did not pay and mortgage interest since she left she could argue that this offset the rent you should have been paying her.
What you might argue is 100% yours is any reduction in the mortgage outstanding since she left if you have been paying all the mortgage payments.

paddy's_mum

Why do I get the feeling that the so-called girlfriend might actually be a wife and why would you need a "family home" if there is not a family to be considered?

Way too much information left out.