Partner wants to pay off their half of the mortgage

Darius54542

My girlfriend and I bought our house in 2018, our mortgage on purchase was £250k, at an interest rate of 2%. We make equal contributions to the mortgage and all bills and have paid off around £20k so the balance is £230k.

She has come into some money (£100k) and this, when combined with other savings of around £50k, means she now wants to pay off her half of the mortgage. 

I use a significant proportion of my salary each money to invest in share funds, have around £25k invested and £10k in cash savings.  

I own a buy to let property and have around £130k in equity in it, so I could sell it and pay off the mortgage, but I think it makes financial sense to keep the buy to let property and continue to pay off the mortgage on our home. 

I have suggested that she could use at least some of her savings to invest in share funds too, generating a better return than 2%, but she doesn't want to, can't get a decent savings rate and therefore wants to pay off her half of the mortgage. 

I have explained to her I don't like the idea of her paying off her half of the mortgage as it would leave me solely responsible for paying the mortgage. I would feel less like we owned the house equally, and carry a (minor) psychological burden she wouldn't. However, she doesn't seem to appreciate this, and in fact, views it as her right to pay off half the mortgage. 

Have any members encountered this? Am I being unreasonable in having these concerns? Are there other financial or legal implications from her suggestion?

kingstreet

There is no "my half, your half."

It is and will remain a joint and several liability even if she repays half.

Hobicore

You will both be on the mortgage even if she pays off her half so she would still be responsible for future payments.

getmore4less

She would carry the greater risk as she would remain liable for the debt even if she paid off "her share"  


What you pay won't change from now why is that a problem?


You could look at offsets where she keeps her money ringfenced from you but no interest is paid on "her bit" in the offset account.


Not sure why you feel you won't be equal just because you borrowed the money would you feel the same is say bank of mum and dad had made the loan?

Thrugelmir

Simple enough to protect your respective interests in the property. Have a declaration of trust drawn up. 

What's your issue with being solely liable for the mortgage? You appear to be managing your personal finances separately from your partners in any event. Yet wish to dictate to her how she handles hers.