Paul3446

I was wondering if anyone could offer advice on the following scenario:

My cousin currently lives with his girlfriend. However she is an alcoholic and after several years of trying to make it work, he's decided he has to get out. Last week she threw his PC out of the window which I think was the final straw.

Basically, the house was hers when they met, but when he moved in they re-mortgaged the house in joint names as she was struggling with debts. This was about 4 years ago and he has since been paying most of the mortgage and sunk all his savings into the house.

Can anyone advise what his options are please? I'm thinking sell the house and go halves, but what if she refuses to leave? She is obviously not the most rational person.

He has been advised he is not eligible for any legal aid, as he is working.

Any advice would be greatly appreciated.

Paul.

PeteBrant

I would say the following would apply:


Take figure "A" as being the value of the property 4 years ago when he went on the mortgage.

Figure "B" is the value of the property now

He is entitled to 50% of the difference between figure "A" and figure "B".

THis may well work out as being the same figure as selling the property, settling the mortgage and splitting the equity. But if you structure as the first example, it doesn't make him out to te on the take if you see what I mean.

Graz

I would say basically he's fooked.

However get the right legal eagle on the case and provided he can prove what he put into the deal he should be able to get it back out again, especially as the mortgage is in joint names. Could be long, expensive and messy though.

Better if they can reach an agreement without going to court over it.

Shame he sunk he savings into it, if it was just paying the mortgage over the last four years I'd just look at it as being instead of rent and write it off as a mistake.

Good luck

Longjing

Has he got any sort of written agreement about his contributions? A decent solicitor should always suggest that to an unmarried couple, and presumably there was one involved when they remortgaged.

When you say remortgaged in joint names... do you mean the mortgage is joint liability? Or that the transferred the house into joint names and jointly remortgaged?

Either way I'd be pessimistic about getting her out of the house against her will. It is (at least) partly hers after all. It might be that he has to settle for a share of proceeds at some point. That might seem unfair, but the harsh reality is that if you spend money on a joint asset you can't expect to get out quickly without agreement.

sbk1972

My friend was in the a similar situation. His lady wasnt a drunk but was cheating. What gave it away was when he suddenly turned up at home, walked into his bedroom to see some guy pulling up his jeans ! :-)

Anyway, house was her to begin with, but he was playing the bills / mortgage for a good number of years.

After numerous months of arugments, solisitor bills (they are the only ones which make money here) he was glad to just walk away with no debts, and her out of his hair, despite getting no £££.

SBK

Paul3446

I think that they transferred the house into joint names and jointly remortgaged? But I will check that.

If that is the case, does the house not instantly become jointly owned, as in if you sell you get half of the money each, or as Pete suggested, he would get half of the difference between the price when re-mortgaged and the current price?

I think a decent lawyer maybe beyond his means unfortunately.

what would scooby do

Leave 3 bottles of vodka and a pizza in the house - job done

Paul3446

By the sounds of it, 3 bottles may not be enough!

Longjing

If his name is on the title to the property he at least has some control over its sale. I think (not sure) that if a property is in joint names it's presumed to be equal shares unless some other ratio can be proved - which is often the case.

If not, he has no legal interest and it's up to him to demonstrate that he has an equitable interest by virtue of the money spent.

It's the same argument if he has a legal interest, but in that case (I think) he would be arguing from a better position - a presumption that he's entitled to half vs a presumption that he's entitled to nothing.

I wouldn't go to a lawyer now anyway to be honest. Try and sort it out first.

Paul3446

What would happen if he just stopped paying the mortgage, she couldn't pay it on her own as she's not working.

Presumably the house would be repossessed, what happens then with regards to money?

Luminous

iTrader: (3)

I would go to a lawyer now to talk the case through fully. Find out exactly where you stand, and what would be involved to get a resolution on a legal basis.

Then do what others suggest and talk it through as best you can. At least then you should be able to see a good deal when its offered (if its offered). Otherwise your friend will never know at what point to accept. He may end up pushing it too far and get nothing if the legal angle is weak.

richardg

...trail leading out of the door?

richardg

he needs to be very careful about how he looks into this. if she knows what he's planning she could start making things more awkward more quickly (ie trashing the house before it's valued etc). i would suggest he speaks to Citizens Advice Bureau or someone like that to see where they think he stands, then considers his opition(s)

Paul3446

Apparently he went to Citizens Advice yesterday, he was told they didn't have anyone available to see him and suggested he came back another day!

Mrs WRX

If the mortgage is in joint names he can go to court to force a sale. The court will also decide how much percentage each party gets regarding on how much has been paid into the property etc. Legal fees will be around the 4 - 5 grand mark.

Spoon

He almost certainly needs a new computer.

jonc

These links might help

BBC NEWS | UK | Q&A: Cohabitation rights

PC World UK Computer Superstore.

PeteBrant