We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Legal advice on deeds when paying part cash
Options
Dovestone_8
Posts: 1 Newbie
I’m currently buying a house with my partner he is getting a mortgage and I’m paying a bit more than half in cash.
do I need to be on his mortgage to be on the title deeds ? And his mortgage advisor is saying I have to gift my partner my cash is this normal practice?
do I need to be on his mortgage to be on the title deeds ? And his mortgage advisor is saying I have to gift my partner my cash is this normal practice?
I don’t really want to be on the mortgage!
Any advice welcome
0
Comments
-
You need to stop until you fully understand exactly what you are getting into. Book yourself a session with a good lawyer who is experienced dealing with unmarried partners and property.
There are two basic options.
You gift your partner the cash and accept that you cannot be the deeds and have no right to reclaim that money.
Or you pay the deposit for the mortgage and go on the deeds. You'd need a deed of trust to specify exactly what happens if you and your partner break up. You could still end up homeless, with the money tied up on the house and legally liable for the mortgage, but could at least take legal action to resolve the situation.
If you've have not made a mistake, you've made nothing0 -
lenders do not "like" occupants who are not party to the mortgage as it makes it more complex for them if they need to repossess. They may, or may not, thus refuse the mortgage leaving your partner needing to find a different lender.0
-
It is unlikely that any lender will accept you having a financial interest in the property unless you are party to the mortgage. As RAS says, you will need a Declaration of Trust to set out the terms of your joint ownership - partner paying all the mortgage etc but you will remain liable to the lender regardless of this. Make sure you understand what you are signing by taking independent advice to your partner.0
-
Why don't you want to be on the mortgage? If the lender repossesses then you'll be kicked out anyway...0
-
Is it just the mortgage you don't want to be on?Or also the Title deeds (property ownership)?Do you understand the difference?What is your concern or reticence?How stable is your relationship? Joint property ownership is in many ways more of a commitment than marriage?0
-
Your partner can’t get a mortgage to buy part of a house. The mortgage has to be secured against the whole title. There is no way for your partner to get a mortgage to fund the purchase without you being party to it. A joint owner, sole borrower mortgage is a thing but not very common.Dovestone_8 said:I’m currently buying a house with my partner he is getting a mortgage and I’m paying a bit more than half in cash.
do I need to be on his mortgage to be on the title deeds ? And his mortgage advisor is saying I have to gift my partner my cash is this normal practice?I don’t really want to be on the mortgage!Any advice welcomeThe mortgage broker’s advice is crap. If you gift your partner the money the lender will require you to sign a document declaring that the money is truly a non-strings-attached gift. You’ll have no rights to the property or the money if your relationship goes up in flames.1 -
You need your own solicitor.No reliance should be placed on the above! Absolutely none, do you hear?0
-
... and most lenders won't accept a gift towards a deposit where the donor will reside in the property and not be party to the mortgage/ownership._Penny_Dreadful said:
Your partner can’t get a mortgage to buy part of a house. The mortgage has to be secured against the whole title. There is no way for your partner to get a mortgage to fund the purchase without you being party to it. A joint owner, sole borrower mortgage is a thing but not very common.Dovestone_8 said:I’m currently buying a house with my partner he is getting a mortgage and I’m paying a bit more than half in cash.
do I need to be on his mortgage to be on the title deeds ? And his mortgage advisor is saying I have to gift my partner my cash is this normal practice?I don’t really want to be on the mortgage!Any advice welcomeThe mortgage broker’s advice is crap. If you gift your partner the money the lender will require you to sign a document declaring that the money is truly a non-strings-attached gift. You’ll have no rights to the property or the money if your relationship goes up in flames.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.1
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 350.9K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.5K Spending & Discounts
- 243.9K Work, Benefits & Business
- 598.8K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards