Joint owner disappeared, new partner helping me with mortgage

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qwerty12

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Hello,
Today I got a letter from PTSB offering me a assisted voluntary sale. On filling out the SFS form I stated that the joint owner (ex husband but not divorced) was not contributing for over 4 years and that the house was for sale for approx 2.5 years. I also stated that I don't know where the ex is or how to contact him. They made no reference to this in the letter which I think are major factors. Is it just a bog standard letter they send out too 800 of us?

Well, since filling out the SFS form my circumstances have changed. I've gotten back with the father of my son and after long talks he has agreed to take on the mortgage with me. With both of us paying the mortgage payments can be made with a stretch. My question is has anybody gone back to the banks with changed circumstances after an offer has been made and what has been the outcome? THanks.
 
There should be a note at the bottom of the letter giving you the right to appeal. So you could appeal it.

I presume that the father of the child has no financial interest in the house?

So your case would be that he is paying you rent which you can put towards the mortgage.

If your ex has gone, you will have to be careful about paying off the mortgage and having him come back in a few years, claiming half the equity in the house. You might be better off letting ptsb take it off your hands if it's in heavy negative equity.

If you want to fill in the following, you might get more useful suggestions

Standard Format for unsustainable mortgage Case Studies



Brendan
 
Assisted voluntary sale

Hi Brendan,

Thanks for reply. I've since gone to bank and filled out another SFS form with my partners contribution of €800pm on it. I was told that there isn't much point in sending back the voluntary assisted sale offer signed only by me because my ex-husband's signature isn't on it so it won't be valid. Therefore I'm not covered by MARP.

My partner doesn't have a financial interest in the house. We would both like to keep it until we're happy to sell it. We're also concerned that we won't get a smaller mortage again because of my bad credit history. So what's the point in selling. From Oct. with both salaries we'll be paying the full mortgage.

Any feedback would be really appreciated.
Thanks.

Income details
Net €2244 pm public servant

Net income partner/spouse: €1600 pm
Income history: fulltime employment for over 10 years.
Amount of child benefit received €130
Amount of Mortgage Interest Supplement received (MIS is the social welfare payment to unemployed people, don't confuse with TRS) None

Personal circumstances so we can calculate your reasonable living expenses

One adult family or two adult family 2
Do you need a car for work or do you use public transport? yes
Number of children 0- 2 years old:1

Monthly childcare costs: approx 300
Montly spend on special circumstances: e.g. exceptional healthcare costs
€200


Home loan
Lender: PTSB
Amount outstanding: €148000 (M1) and remortage €43130 (M2) outstanding €191130
Value of home: approx €205,000 - €220,000
Interest rate: M1 5.6 fixed rate, M2 4.3 variable
Monthly repayment 1249.00
Amount in arrears total of two €12449

Summary of discussions and agreements with the banke.g. in Marp since Summer 2011, no arrangements to pay interest only or anything else. Filled out SFS and was offered assisted voluntary sale. The SFS form was filled out with just my income. It has now been amended to state that my partner is contributing to the mortgage to the amount of 800pm

Credit Union
Amount of shares €1600
Amount of loan outstanding€7800
Monthly repayment €250
Term left 30 months


Other loans and creditors - delete those which don't apply to you

Other savings and investments
none

How important is retaining the family home to you?
Which of the following best describes your situation?

My house is for sale but don't want to be forced to sell it at a value that won't cover mortgage.
I really want to keep the family home even if it means having a large mortgage and negative equity for years to come.


Any other relevant information

What is your preferred realistic outcome?
For example: Not to be forced to sell..maybe to trade down and get a smaller house in an urban area. My house is in a very rural location. I want my partners name on mortgage and not ex-husband who isn't contributing (only I don't know where he is).
 
User Input|
Type of household|Couple
Type of transport|Private Vehicle
No. of infants|1


Reasonable Living Expenses|€
Total Before Deductions|1,778.76

| 1,778.76
Less Child Benefits|(130.00)
Total Set Costs | 1,648.76
Childcare|300.00

Special Circumstances|200.00
Total Costs | 2,148.76

|€
Net Income|2,244.00
Net Income - Partner|1,600.00
Total Net Income | €3,844.00
Reasonable Living Expenses|2,148.76
Available For Creditors | €1,695.24

You have €1,700 between you, and the monthly repayment is €1,249, so there should be no need for an assisted voluntary sale.

The monthly interest on your loan is as follows:

148,000 @ 5.6%|€8,288
€43,000@ 4.3%|€1,849
Per year|€10,137
Monthly|€850
Capital element| €400
Total repayment| €1,250
If you are paying €1,250 per month, ptsb should be very happy. They might ring you from time to time about the arrears, but they will not initiate legal action for repossession.

However, there is always the prospect of your ex coming back for half the house.

After ten years, you will have paid off around €60,000 capital, so the mortgage will be down to €130,000.
Depending on how house prices go, there will around €100,000 equity in the home.
Your ex may well insist that you sell the house and give him €50,000.

You might be better off selling the house now to resolve this and break your connection with your ex husband.
Talk to your solicitor about this, but this is my understanding.

For an Assisted Voluntary Sale, you will need your ex husband to sign the contract. As you can't contact, him you won't be able to do this.
So you could agree with ptsb that they would repossess the house and sell it. In practice, you would advertise it for sale and try to maximise the selling price.
If it clears the mortgage, you will get half the excess and your ex will get half it.
If there is a shortfall , you will be fully liable for it, as will your ex.

Can you rent an equivalent house for less than €1,250 per month?

If so, this is what you should do.

If you decide to pay the mortgage in full, you should do an agreement with your current partner

Well, since filling out the SFS form my circumstances have changed. I've gotten back with the father of my son and after long talks he has agreed to take on the mortgage with me.
Click to expand...
What is he agreeing to do?
Is he paying rent?
Is he "paying the mortgage" and thus acquiring ownership rights, in his own mind at least.
You need to have this conversation now.
If you break up again, you might find yourself in two legal fights from exs.

Brendan
 
"After ten years, you will have paid off around €60,000 capital, so the mortgage will be down to €130,000.
Depending on how house prices go, there will around €100,000 equity in the home.
Your ex may well insist that you sell the house and give him €50,000."
This is a key risk for you and needs to be taken into account in any decision you make. As the house is in positive equity and in joint ownership, the joint owner has a right to claim 50% of the equity. this equity will increase as the loan is paid down and in addition the house cannot be sold without the co-operation of the joint owner. You are in a quandry over this and should not make any further capital payments on the mortgage until this is resolved. You should take advice from a good solicitor on your options.
 
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