Deposit split after split

Posted on 18 September 2008

My partner and I are splitting up after a year and a half in a house that we bought. We pay half the mortgage each, and he paid the deposit. What happens to our mortgage? I think we might sell, although he might loose his deposit because of the current market.

 

Dear Danni

Thank you for your question.  From the content of your email, I will assume you had no written agreement in place before you bought together.  Even though you and your partner are going through a separation, if the mortgage is in joint names, you will still both be jointly liable until it is redeemed.   You can do either by selling the property or one of you buying the other out, however, as you say, in the current market the house may well be worth less than you paid for it and it may eat away at the deposit.  I think you would benefit from some advice from an adviser who can ask you the finer detail of your case.  You can of course contact one of our brokers who will gladly help you do this.

Good luck.

Bea

Category: Separation or Divorce

 

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