Selling when gifted money towards property

Gers

Taking no sides but surely it would be only half of the £40k?  Other half due from the soon-to-be-exhusband? 

mattyprice4004

Gers said:

Taking no sides but surely it would be only half of the £40k?  Other half due from the soon-to-be-exhusband? 

Yes, the OP would have to chip in £20k and the husband the other £20k. 
To the OP, sorry but I don't think behaviour is anything to do with the money - that's a separate issue. If they gifted £40k less than a year ago, it's morally obvious (if not legally) that they should get it back if you sell. 

bazzyb

What was the purchase price of the property?  There are references to a £40k gifted deposit which assumes the purchase price was £300k but I can only see that was the valuation of the property rather than the price.  Some clarity may help here as there may not be a £40k deposit as such if the actual price was below market value.

sammyjammy

bazzyb said:

What was the purchase price of the property?  There are references to a £40k gifted deposit which assumes the purchase price was £300k but I can only see that was the valuation of the property rather than the price.  Some clarity may help here as there may not be a £40k deposit as such if the actual price was below market value.

Property purchased from husbands parents with the 40k discount from the 300k valuation.

TripleH

If it's legally recorded as a gift for a deposit, that is what it is if the paperwork is completed correctly.

If the parents try to sue the Op for the money at a later date, they will no doubt be able to prove it was their money but can they prove it was a loan to the satisfaction of a judge.

In all honesty everyone knows why the money was given but its what the legal paperwork says that matters.

It's up to the Op and her husband to sort out the actual details as part of a divorce settlement, the money most likely has nothing more to do with his parents.

Gavin83

Marvel1 said:

A gift is just that, a gift, no return.

There is no confirmation yet (that I’ve seen) to confirm it’s was a gift and not a loan.

user1977

Gavin83 said:

Marvel1 said:

A gift is just that, a gift, no return.

There is no confirmation yet (that I’ve seen) to confirm it’s was a gift and not a loan.

The fact that there is a mortgage is a very strong indication that it was declared by everybody to be a gift. In which case it's going to be difficult for anybody now to argue otherwise.

Slithery

As far as I can tell it wasn't a gift or a loan, the parents just decided to sell their house at below market value.

MaryNB

Slithery said:

As far as I can tell it wasn't a gift or a loan, the parents just decided to sell their house at below market value.

For some tax purposes the discount can be seen as the equivalent as a gift of an equivalent monetary value. Not sure how a lender would view it though. I'm sure if they thought someone was planning to retain a £40k interest they would not have be so keen to lend...

Keep_pedalling

Some very simplistic moralising going on here. Based on what the OP has said, she has been forced into this by her husband’s unreasonable behaviour. She now needs to sort out her own place to live and giving up £20k of equity may very well not be practical. 

I am willing to bet the parents won’t be expecting anything back from their son.