# Taking my partner's name off the mortgage?



## digweed (1 Jun 2010)

Hi,
I've looked for a similar situation in previous posts, but cannot find anything that matches.

Here's the scenario:

My ex partner and I took out a 100 % mortgage with PTSB in early 2006 for €320,000
I split with my partner in early 2008, where I agreed to take over the repayments on the mortgage (my partner was not in a position to pay the mortgage and moved out). 
I have paid the mortgage in full by myself since early 2008, as can be confirmed by bank statements.

I spoke to the bank in early 2009, inquiring about how I could take my partner's name off the mortgage. They said it wasn't possible. I would essentially have to reapply for a mortgage in my own name, the size of which I couldn't afford on my own given the bank's revised criteria at the time!
I've heard there were options regarding replacing my partner with someone who could go guarantor, but this is not an option for me either.

Now, for over 2 years, I've been renting 2 rooms in the house consistently and have a full record of paying the mortgage on my own. The house is now in negative equity to the tune of about €60,000.
It's a bit of a long shot, but are there any other options as to how to get my partner off the mortgage, present or near future?

At the moment, the only option I'm aware of is to wait until the mortgage is small enough [and not in negative equity] for me to re-apply in my own name for it, which will take a very long time.

Thanks,

Digweed


----------



## PaddyW (1 Jun 2010)

I don't think there are very many other options to be honest Digweed. I'm named on a mortgage with a previous partner and as she can't afford to take the mortgage in her own name, I'm stuck on it until she can.


----------



## digweed (4 Jun 2010)

Thanks Paddy, that's what I suspected
No harm in asking though 

Cheers,

Digweed


----------



## flatbroke (4 Jun 2010)

Hi Digweed/Paddy 

I hope you have a legal document from your ex's stating that they have no interest in the property's that is dated and signed ? . Otherwise they could have a claim on a share of the property's if you go to sell


----------



## Apollo (13 Jun 2010)

From what some economists are saying, & I'm referring to the reputable ones who got it right about a few years back about Ireland overheating, it could be 15 to 20 years(given the massive over supply we have and state of the economy in general) before prices come back to peak levels which is almost at the time when you bought. I'd look into selling the house at a knock down price and get that 320/300k, or whatever is o/s on the mortgage, monster off your back as early as you can. Lets say there was still 100k of a mortgage o/s after you sold it would basically leave you with 50k each to pay off. A bitter pill to swallow it would be but you could start living a life without a huge monthly commitment to make and enjoy your life far more than you maybe doing now.

Some people I've spoken to, early thirties, have no intention of buying til their mid 40s, i.e. they are banking on prices not rising for another 10 years & I can't say I blame them on taking this risk.  

I guess the question is are you prepared to continue as you are for potentially a very long time and not have much of a life, I'm assuming things are tight for you at moment, or cut your losses, take a hit but start enjoying your life. If you don't miss any payments your credit record will remain clean so that won't be anything to worry about.


----------



## hippy1975 (13 Jun 2010)

Apollo, digweed doesn't need prices to go back to peak levels, just for the landscape to change a bit so that the bank will give them the mtg in his/her own name, which they can quite clearly afford as have been paying it on their own no problem for two of the toughest years most of us remember.

Digweed, paddy is right, hang on in there until the landscape changes , it's all you can do, but I would check out what flatbroke said about an agreement confirming that as at x date your ex partner has no interest in the property, sounds like a good idea


----------



## Rico (13 Jun 2010)

I am in the opposite situation. The house was bought in my name prior to getting married in 2006. Asked bank FA  to put wifes name on the deed. Have other loans and if there was a problem want to protect family home. Have a tracker ecb + 0.75 mortgage and bank want to set up new mortgage if wife to be added to deed. Obviously at a their standard variable rate.


----------



## hippy1975 (13 Jun 2010)

Rico, I wouldn't part with the tracker, no way, maybe talk to a solicitor and see is there another way you can note your wires interest in the property?


----------



## txirimiri (13 Jun 2010)

Rico, I would second the advice about not giving up the tracker! If you are married, surely your wife's interest in the house is covered by the Family Home Act (i.e. if you were to split up, she would be entitled to her share as it is considered the familty home, irrespective of whose name it is in and who has contributed financially re paying mortgage, deposits etc)? Worth checking this out with a solicitor


----------



## txirimiri (13 Jun 2010)

Family Home Protection Act 1976 Section 6


----------



## Pat Bateman (13 Jun 2010)

As flatbroke said, I hope your ex signed something stating that they no longer had an interest in the property.

Perhaps you could draw up an option agreement/promissory contract to reflect the reality of the situation?

A signed and witnessed agreement where your ex agrees to sell his/her share of the property to person(s) nominated by you at a time nominated by you for a token amount might suffice.

You should seek professional advice.


----------



## Rico (13 Jun 2010)

Thanks Hippy 1975 and txirimiri. I wont be letting go of the tracker indeed, just another example of the banks using any opportunity to get out of the rate.


----------



## partnership (25 Jun 2010)

*Rico*

Your wife is automatically enitled to a share in the house now you are married.  If you were to split up tomorrow she could claim half (some would say this is unfair).


----------



## Sidetracker (2 Jul 2010)

*Digweed*

Hi Digweed, a word of caution on selling your Home and splitting the proceeds with your Ex Partner. You *Both* would be taxed @ 20% for *Capital Gains.* Thread carefully.


----------



## goingforgold (2 Jul 2010)

Capital gains tax is not applicable in their case Sidetracker as there will not be a rise/gain in the price they get for the house compared to the price they bought it for. They will be selling at a loss therefore there will be no capital gains tax.


----------



## Brendan Burgess (2 Jul 2010)

goingforgold said:


> Capital gains tax is not applicable in their case Sidetracker as there will not be a rise/gain in the price they get for the house compared to the price they bought it for. They will be selling at a loss therefore there will be no capital gains tax.



And it's a principal private residence, so even if there was a gain, it would be exempt from CGT.


----------



## Sidetracker (2 Jul 2010)

Thanks for the info. *Sidetracker*.


----------



## digweed (7 Jul 2010)

Thanks all for the replies and the info.

Digweed.


----------



## Babycakes (14 Jul 2010)

Hi All,
This thread has been interesting reading as I am also in the same position. Split with my Partner in 2008 and have since been residing in and paying off the Mortgage. He moved out. When I tried to re-mortgage in my own name it was refused even though I have proved that I can afford to pay the repayments on my own for the past 2 yrs.

Since the refusal, I have told my Ex Partner that I am prepared to sell and take the hit now to break all ties. He however says that he is not in a position to do this, which I know is a lie (he forgets that I know what he earns!) 

He now thinks that he should move in for the same period and clear down the mortgage for the same amount of time as I did (I obviously move out) and then in 2 yrs time the house should be out of Negative Equity.

What are the risks here? I hate being still financially tied and I dont want it to seem as if I have walked away from any commitment! 

The longer I stay the more I am paying off his half of the debt and the negative equity - although he says that I am having the benifit of living there, but at a price.

If it were to sell, I dont agree that the negative equity should be divided in two given that I have paid almost 24k off the loan since he left.

Your thoughts would be very much appreciated!

Thanks


----------



## Babycakes (20 Jul 2010)

Hi Has anyone thoughts on my situation above?


----------

