Division of property at divorce with unequal investment

Fair_share

I'm getting divorced and my partner and I are trying to work out the finances.
Our house has a value of 450K with a mortgage outstanding of 300K. We intend to do an equal split. We both have paid off the mortgage equally and put in an equal share into the deposit. I will buy out my partner for me to be able to stay in the family home. This will be financed by me transferring my share of a 2nd home we both own. 
The only item of discussion is an investment my partner has made into the house when we bought it 5 years ago. He invested 25K to modernise the house. He wants this money back. I am 'happy' to pay this money back however I am aware this changes our equity split with me, after paying him back, having invested 25K more into the house. When it comes down to splitting the equity my reasoning is that I do not need to pay him a 50% share of equity given the 25K investment, eventually paid by me.
What would the impact, if any, on the equity share?
Also, do you recommend having this written up by a financial advisor if we both agree?

blue_max_3

You shouldn't be doing anything until the financial agreement has been signed by you both. It forms a part of the overall picture. 
You can and should come to agreement between yourselves. There is no his and yours money when you are married. Just joint assets.

Fair_share

We signed a prenup before marriage. Does that change things? In any case I would like to honor 'his' money just worried on the impact of equity we have to share. 

Thrugelmir

Fair_share said:

We signed a prenup before marriage. Does that change things? In any case I would like to honor 'his' money just worried on the impact of equity we have to share. 

That will have a bearing on the outcome. 

gwynlas

Pre nups do not usually carry much wait in the UK particularly when you have been married a long time.
Whilst he invested £25K to renovate the property in order to be fair you should only owe him £12.5K.

dimbo61

Please edit your posts !
You were married and are now getting divorced so it's your EX husband.
This is important as most divorce solicitors and the courts look at things from a 50/50 share of everything.
Property, savings and pensions 
If you have kids the courts will always consider the housing needs of the children.
If you did not work and were a stay at home mum while your husband built up a large pension pot that should be taken into account.
Where did he get the £25K to invest in the property ?

Thrugelmir

gwynlas said:

Pre nups do not usually carry much wait in the UK particularly when you have been married a long time.
Whilst he invested £25K to renovate the property in order to be fair you should only owe him £12.5K.

We've no idea what the pre nup covers. One assumes more than the property where a declaration of trust would have sufficed. 

Fair_share

25K is coming from a release of investment he made before marriage. 

Never thought of the option to only pay back 12.5k. In reality he would be selling his part of the house to me and so any investment he made would be returned in positive equity to him. 

We both work, both semi- equal pensions. 

blue_max_3

I think you will have to ask your solicitor if they feel the pre-nup has any weight in your case. But it seems you are pretty evenly matched financially, so if that is all you are disagreeing on, it may be best to make a concession. Of course, you could make a formal offer through your solicitor and see what happens. Perhaps there are other areas you could compensate for - maybe other assets?