Buying out ex-partner?please advise . thanks

[Warwick10]

Hi all,

Thanks for your patience if a similar query has been dealt with previously ( I think the problem is that each case although similar will be different )

A good friend of mine has just been involved in engagement break up.
Her now ex and her,are joint 'owners' on a property purchased 2 year ago for 200k. It is now valued at 400k ( yes they were very lucky ) . So of course nearly all mortgage remains, so arrangement would be for her to pay his 100k 'profit' , and he walk away. Now she has no access to this kind of money, but is very keen to keep the property. Not for the financial value , she just wants to keep her home if possible, and the sense of security that goes with it, in a time of great upheaval.

Wold anyone have any advice how feasible this is? She has an annual income of approx. 60k with large increase to come in the future, ( with a big firm ,and very highly rated ) . She can easily handle the existing mortgage on her own currently ( as I said , very lucky ).

I would appreciate any advice as to the feasibility to of approaching the bank on this, and indeed the best way to go about it. Unfortunately I don't have much knowledge on this matter, and my friend less, but she is in a tough time and just needs a little help and advice.

I really do appreciate any advice you could give.

 

[44brendan]

There really is no advise here that can get over an agreement with ex-fiancee. I.e. Assumption is that he will want 100K to relinquish his ownership interest in the property. Also hthe Bank will have to approve change in mortgage to sole name (assumption is that it is currently in joint names). In effect this will require your friend to increase the mortgage by 100K and heve it approved in her sole name. At 60K annual income, this at face value does not look like a runner. Unlikely that the co-owner will agree to relinquish his interest in the property without getting paid the circa 100K in added equity.