Am i entitled to anything?

brooklyn6662

GDB2222 said:

You own the house 70/30. So that’s what you are entitled to, after deducting the mortgage and partner's deposit if I understand the terms correctly. So, how much is the house now worth? It could be that your share is worth something, or not, depending on the value. Your share could even be negative, possibly.

I am perplexed why you didn’t get any of the lodger rent? 

thanks for your reply. i was naive going into this so i never really questioned the lodgers rent. Plus my partner bought the lodgers over from her previous property. 

we are still amicable so hopefully it will go smoothly. but my partner is definitely assuming that i will just sign over my part.  i’m not sure of the current valuation so we will have to have it valued we had a higher mortgage due to my bad credit, so we have mostly paid off interest. which is why she believes i shouldn’t get anything.  i think she would be inclined to give me back want i have paid in. but if we have to sell to get my 30% then that would get very messy as she has no plans to sell up at all 

Comms69

She doesnt need to sell, just remortgage.
2 years you've defo paid of a chunk of equity. And frankly i think the deed of trust at 70/30 includes the 100k. as that works out almost perfectly at 225 : 125 split of total value.

The lodgers rents was clearly to be split. She's either malicious or stupid, and stupid people dont get deeds of trust.

brooklyn6662

AdrianC said:

Let's say the flat is still worth £350k.

A £250k, 25yr repayment mortgage with £1k/mo payments would be about 1.5% interest - so there would be about £233k debt remaining.

That means about £17k equity, after taking account of the deposits. You've been paying 60% of the mortgage - so 60% of the equity would not seem inappropriate. Call it £10k.

Can we assume the pair of you are sufficiently grown-up to actually sit down and have a rational discussion? Because, if not, any equity is going to go straight to lawyers and fees.

the interest rate was 3.75 as i had adverse credit. so out of the 1k mortgage we have only been paying off about £160 off the mortgage a month the rest is interest, so there is not much equity.

we are currently amicable so will be able to have a grown up conversation about this. but i think at best she will offer me £600 x number of months paid rather than sell. 

Comms69

brooklyn6662 said:

AdrianC said:

Let's say the flat is still worth £350k.

A £250k, 25yr repayment mortgage with £1k/mo payments would be about 1.5% interest - so there would be about £233k debt remaining.

That means about £17k equity, after taking account of the deposits. You've been paying 60% of the mortgage - so 60% of the equity would not seem inappropriate. Call it £10k.

Can we assume the pair of you are sufficiently grown-up to actually sit down and have a rational discussion? Because, if not, any equity is going to go straight to lawyers and fees.

the interest rate was 3.75 as i had adverse credit. so out of the 1k mortgage we have only been paying off about £160 off the mortgage a month the rest is interest, so there is not much equity.

we are currently amicable so will be able to have a grown up conversation about this. but i think at best she will offer me £600 x number of months paid rather than sell. 

£800* x 24 = £20,000 which is probably a good deal. 

greatcrested

Have I missed this? Has one of them moved out or do they both stil llive there?

brooklyn6662

Comms69 said:

She doesnt need to sell, just remortgage.
2 years you've defo paid of a chunk of equity. And frankly i think the deed of trust at 70/30 includes the 100k. as that works out almost perfectly at 225 : 125 split of total value.

The lodgers rents was clearly to be split. She's either malicious or stupid, and stupid people dont get deeds of trust.

the mortgage is up for renewal in a few months. she is self employed, will that affect her new mortgage? i am a high-ish earner in full time employment. which helped our current mortgage a lot. our interest rate is 3.75 so i don’t think we have much equity 

brooklyn6662

md258 said:

What do you (and your partner) want to happen?
In your ideal solution, would you stay in the house (with the lodger?) or would you prefer to move somewhere else?
If you want to stay in the house, I'd say stay put until you get an offer which is fair- as the comments above say, that would be your partner gives you the house and you give them approx 105k.
If you're looking to move, then I'd say agree to it for approx 12k.

i’ have semi moved out already. ideally she would make me an offer without selling and i move out, that would work best for both of us. although she would be giving me an offer through gritted teeth, it would be worse for her if she had to sell 

Comms69

brooklyn6662 said:

Comms69 said:

She doesnt need to sell, just remortgage.
2 years you've defo paid of a chunk of equity. And frankly i think the deed of trust at 70/30 includes the 100k. as that works out almost perfectly at 225 : 125 split of total value.

The lodgers rents was clearly to be split. She's either malicious or stupid, and stupid people dont get deeds of trust.

the mortgage is up for renewal in a few months. she is self employed, will that affect her new mortgage? i am a high-ish earner in full time employment. which helped our current mortgage a lot. our interest rate is 3.75 so i don’t think we have much equity 

Honestly not enough detail. 
I know lots of questions being asked - can we just prioritse the main thing.

Ask her how much she is going to pay you?
And DO NOT MOVE OUT until the money is in your account.

dimbo61

Your EX partner has loads of equity in the property and without you and your poor credit history but high income she could not have bought the property.
You might have found a cheaper house with less bedrooms but then you would have had No lodgers.
You shared the mortgage 50/50 and should have shared the lodgers rent 50/50 as they were living in a house belonging to both of you.
She may well in the current climate be unable to remortgage even with £100K+ of equity if her income is not enough.
Time to talk as you want off the mortgage and your fair share of the property.

GDB2222

For goodness sake, forget about what you paid. You have an agreement about ownership. That is what counts. Nobody here can advise you without knowing what the agreement says. Plus the current value, plus what’s outstanding on the mortgage.

It is possible that the mortgage has an early redemption charge at the moment. You’ll need to think about that, depending how long that is payable for.