equity rights for splitting up

[stuarthouse]

Hello

After 8 years splitting up with girl friend who is still living in same house. We bought the property 7 years ago in joint names with a deposit I paid, also I have paid mortgage/ endownment and all of the bills during. She has a very low income and pays fuel for the car/ some food shopping. Since we bought I have spent a considerable amount on home improovements and carried out the work myself. Also with the house prices going up there is a generous equity but would she be entitled to half? Also have a loan for car that she uses would this be divided? Things starting to get a little nasty and as she will be entitled to legal aid she has told me she will drag it out. Unfortunate for me I think the solicitor is going to cost a fortune. I tried offering her as a settlement 1/2 equity minus the payments I have made for the mortgage and she thinks she is entitled to half. Please help with your suggestions.

Stuart

[erimus1]

Hi Stuart - sorry to hear or your troubles. Unfortunately, as the property was purchased in joint names, she will be entitled to a proportion of the equity - this going to court, you could argue her share as low as possible - her solicitor will know this and may well make an offer for settlement, which is substantially lower. In your shoes, and knowing her situation, I would go in for the kill, and ask that she buy you out for something in the region of 80% market value (knowing she is unable to).

Bare one thing in mind though, the mortgage, and the car loan (as long as that is also in joint names) can also be seen as a detriment as they are also a liability which must continue to be paid - why not offer to discontinue her liability in both loan and mortgage - might be worth a try.

Hope this assists.
Good luck,
Steve

[lady_p_gold]

I believe that even if she is entitled to legal aid she may well have to pay it back out of any settlement she received. I think you should be firm and show her that you will be fair and make a reasonable offer and say that she can take it or leave it and if she wants to turn nasty then so can you, and if you can afford a good solicitor then stick to your guns. She is entitled to a fair share but you are entitled not to lose more than you should.

[vjcv]

Phew, only 8 years. Imagine you had been together 25, finihsed the mortgage, and then split, and have to start all over again. In Canada everything is split 50/50 regardless. I'd offer half the equity. In cases where one opartner earns more, it doesn't prevent you getting together initially, so shouldn't come into play when you split, especially where one partner stays at home (more) to look after the children. I'm sure she contributed in many ways unpaid (as you have done, no doubt). Soemone i know paid her partners mortgage for 7 yrs, and left with nothing, as he had elderley parents livng in a grannie annexe, she knew he couldn't afford to pay her back any equity, and she called it quits and left them be. It's 'only' money so don't let it ruin your health, and don't get upset or be led into conflicts over it. I think she will have to pay her legal aid out of the proceeds of her 'winnings' too.

[stuarthouse]

Hello

Thank you for your support on this as thought I was on a complete loss of being forced to pay half equity. Is it best to see solicitor first or get house valuation to try and cut some of the solicitors time and costs by providing it all at once? Any body know how much solicitors charge for this kind of thing so I know if one is too expensive or not? I think I will stick to half equity minus half the payments I have made in the last seven years minus half loan with car. As the loan was for other things as well or no car and I pay loan as loan in my name only. Think this is fare as she walked away from previous 10 year relationship with nothing but they did not have own home etc, but seems keen to make sure I will pay.

Stuart

[lady_p_gold]

Well most estate agents will give a valuation you could get about three and then you will have a pretty good idea. I would find a solicitor who specialises in this sort of thing, and even if it is not cheap, I think it is worth it because there is a lot at stake and he or she will help you to work out exactly what sort of offer and strategy is best.

[tompkins10]

Hi Stuart I have just read your question and connot believe I am going through something almost identicle. First have you sorted this yet as I noticed your question was back in Feb. I would like to speak to you as I have had legal advice

[stuarthouse]

Hi Tompkins
Been to see solicitor for legal advice and was told there was no legal structure as all cases different in court, suggested we go to mediation been to one so far got another appointment late August where hopefully we will get to a financial offer where we could both accept or disagree. Please get in touch as always nice to know how you have been told to handle this situation as can be very costly and perhaps unfair.
Hope to hear from you soon
Stuart