Mortgage Payments Following Split

Posted on 8 November 2010 by Steve


My partner and I split up after she had an affair with somebody else. We jointly own a house which we purchased for £245,000 approx 2 and 1/2 years ago. The outstanding mortgage is £174,000. My ex-partner had put down a £60,00 deposit and I agreed to a Deed of Trust giving her the first £50,000 of any future sale profit and the remainder would be split evenly between us. After splitting up, my partner acknowledged that I earned £50,000 more in wages than she did over the 4 years we were together and had ploughed that into our relationship. she verbally agreed that the house should be split evenly upon sale (she also wrote this in a letter and by SMS message) rather than her taking the first £50,000. She has now gone back on her word and wants the first £50,000, stating that I can have the remainder. The house is up for sale at £240,000, leaving £65,000 equity (before fees) however the house does not look like selling at present. Obviously any further reduction in price will be deducted from my share as she is guaranteed the first £50,000. The asking price has already been lowered by £10,000. I am not happy that she has gone back on her word, so I have stopped paying her my half of the mortgage (to date I have missed one payment). My partner is now paying the entire mortgage and wants me to pay her my share, but I am refusing because she will no longer acknowledge the money I have put into our relationship. I realise that as long as the mortgage is being paid then it's not a problem with the mortgage company, but she is now threatening court action to force me to pay my half of the mortgage. Is there any law that forces me to pay, I'm concerned that I could pay her my share of the mortgage for the next year or 2 and actually end up losing money when the house is sold. She can't seem to understand why I'm reluctant. Any advice would be greatly appreciated.

Steve

The mortgage is a contract between you and your Lender for which both you and your ex-partner have joint and several responsibility. If the full payment is not made then the mortgage lender will record this on both your credit files and this will have a detrimental effect on any future credit applications you make. Depending on how many payments are missed this could prevent you taking out a new mobile phone contract yet alone a new mortgage.

It is in both your best interests to make sure the mortgage payments are being met and I recommend you seek independent legal advice regarding the overall situation.

Peter

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