Relationship Breakdown

[iloveglee]

I am coming on here again, as I often do to ask for the advice/experiences of anyone in or who has been in this situation.

One of my grand daughters is in a relationship, that she wants out of.  They are not married, nor in a civil partnership.  What they do have is a shared ownership house, 50% theirs, and 50% housing association to whom they pay rent. 

This split is amicable, for now, but there are issues which makes her not see them being together in the future.  I wish these young people would  discuss these issues properly before setting up home together, but there you are. 

He has nowhere else to go, his parents live abroad.  She can go to her parents, who have plenty of room, and live only around the corner.  They have a dog which they will share responsibility for.  She fully intends to continue to pay her half of the mortgage, and rent, so as to maintain her share of ownership of the house.  Her parents are flexible about her living/contribution whilst she is with them, until they can sort out a more permanent solution.  He wants to move to live with his parents in Spain, but of course this is now not so easy since Brexit.  In the long term it is what he is looking towards. 

They both freely admit they don't perfectly understand the legal ramifications behind this separation, but are loathe to get lawyers involved.  For one thing its pretty expensive, and neither of them are adversarial just now, and would like to keep it that way. 

As the person planning to move out of the house, are there any potential  pitfalls she should be aware of that could jeopordise her access to the house at some later stage.  I guess theoretically she becomes the landlord of her part of the house, and theoretically he should pay rent to her for his occuption of that, but as they are not allowed to sublet I guess that's not anything they might consider.

What slightly complicates the matter is that she paid the deposit and fees when they bought it, so how the division would be made when, if, they come to have to sell it.  He has done work on the house, and has paid bills other than mortgage and rent over the past couple of years, so could argue he's put in his share in a different way.  

It's potentially messy and they'd like it to be as non messy as possible.  They really care for each other as friends but nothing more than that. 

[barry1010]

My advice is what I tell any couple without children who separate.

Clean break. Sell the interest in the house, she moves in with parents and he rents elsewhere. 

[JinnyJoan]

co-ownership sounds what your granddaughter got involved - so did I when I started to buy this house and it was the worse thing I ever did, luckily after some years paying I got rid of the co-ownership.  and now I own all of my house 

[iloveglee]

Ultimately, I think they will totally separate and sell the house, although neither of them want to do that.  Besides, she is not able to have the dog at her parents, and many rentals do not allow pets.  They just lost of one of their cats, and would be heartbroken, on top of all the rest of it to have to rehome the dog.  It's almost more complicated than having kids. 

So for the moment it has to be the way it is, her at her parents, him in the house.  She is just wondering if there is anything she has to do, or not do, to risk losing access to the house if things cease to be civilised.  I am wonder whether citizens advice may be able to help her.

The ownership of the house is indeed co-ownership, or shared ownership.  They both co-own half of the house, the housing association owns the other half and they both have a rental agreement for the rent on that half.  Legally they are tied.

Selling a shared ownership house is not so easy as selling a fully owned house, and is more expensive with fees etc.  This is why they are reluctant to do it just now.  They have a little equity in the house as prices have increased and they have paid some off the mortgage.  Where the house is located is in demand so my guess is the value will only increase.  

Currently he is looking into how it would be possible for him to move to Spain.  If it works out that he could do that, and it is by no means certain, then she would have to look into the possibility of being able to afford to buy him out.  Otherwise it would have to be sold.