Mortgage Separation

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Reeah30

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My partner left me earlier this year. He asked for €90,000, on the condition that he could come off the mortgage, which I got for him. I'm not in a position to sell, as I can't afford anywhere else. The Title Deeds are now solely in my name in the Land Registry Office, but his name is still on the mortgage. I've sent in a Financial Statement to the bank, showing that I can meet the mortgage through a permanent tenant, and my part time earnings. I'm waiting to hear back from them. I've been paying the mortgage since he left. He now wants to come off the mortgage, as soon as possible, as he wants to go for a mortgage on his own. Unfortunately I won't get a mortgage on my own. What if any are my rights, this is my family home.

Can he be asked to pay off half of the remaining mortgage?

Can he be taken off the mortgage?

The house is valued at €460,000
Mortgage Outstanding is €169,000.

Any help would really be appreciated. I'm at my wits end.

Thank you
 
Reeah30 said:
I can meet the mortgage through a permanent tenant, and my part time earnings.
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What are your earnings?

Why are you not working full-time?

When you paid him the €90k, did you do up a formal agreement written by a solicitor?

What does that agreement say about how soon you have to get his name off the mortgage?

Brendan
 
Brendan Burgess said:
What are your earnings?

Why are you not working full-time?

When you paid him the €90k, did you do up a formal agreement written by a solicitor?

What does that agreement say about how soon you have to get his name off the mortgage?

Brendan
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Hi Brendan,

Thank you for your reply. My earners including tenant are €13,000 annually.

I'm on a Disability Allowance, and can only work a certain amount.

Yes, it was don't through a solicitor. It was agreed that he got €50,000 and then €40,000 when he came off the mortgage, but I couldn't sell the house, as I've nowhere to go, but I gave him all the money.
 
You will not get a mortgage of €169k if you have no actual earnings.

Have you a family member who could take out a mortgage on their home to give you the money?

I presume you are not 60? If so, you could get a lifetime mortgage for some of the amount you want to borrow, leaving your family to raise less

How Much Can I Borrow on a Lifetime Loan - Spry Finance

How much can I borrow? You can borrow a minimum of €20,000 and maximum of €500,000 from Spry Finance depending on your property value and age
www.spryfinance.ie www.spryfinance.ie
 
Another messy option is to find a family member or friend who will buy half the house from you.

None of these options is ideal, but they are all better than selling your house.
 

Equity release - CCPC

If you own your home and are over 55, an equity release scheme could allow you to release some of the value of your home.
www.ccpc.ie www.ccpc.ie

Make sure to read the above from the competition and consumer protection commission esp re their suggestion that you shoukd get legal advice before taking out an equity release product.
 
Few things here:
What's the annual income? Full rate disability alone would be 12,064 pa. What are you getting for DA/work/ rent?

What does the legal agreement state? Is there a time frame to get him off of the mortgage? What are the repercussions if you can't get him removed from the mortgage?
Be very sure you understand this properly.

Was the 90k savings or did you borrow that? I'm guessing it's not savings as your DA would have been cut.


And take a breath!! Don't let him put you under undue pressure. He should have been aware that you would not get a mortgage alone in order to take him off the mortgage. Seek legal advice and follow that. Do not give anymore money and do not take steps to sell the property as yet.
Basically, sit tight speak with your solicitor to understand all the options.
 
dubdub123 said:
Few things here:
What's the annual income? Full rate disability alone would be 12,064 pa. What are you getting for DA/work/ rent?

What does the legal agreement state? Is there a time frame to get him off of the mortgage? What are the repercussions if you can't get him removed from the mortgage?
Be very sure you understand this properly.

Was the 90k savings or did you borrow that? I'm guessing it's not savings as your DA would have been cut.


And take a breath!! Don't let him put you under undue pressure. He should have been aware that you would not get a mortgage alone in order to take him off the mortgage. Seek legal advice and follow that. Do not give anymore money and do not take steps to sell the property as yet.
Basically, sit tight speak with your solicitor to understand all the options.
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I've the 12,000 from the DA, the rent is 12,000 annually and my part time job I'm not sure of roughly about 5,000. The money he wanted I got from family and friends, which I must leave in my Will. I've spoken to a solicitor, but they said it all depends on the Banks decision.
 
Go back to the solicitor and ask
- if unable to get mortgage, what are you legally required to do? Eg must you sell house. Ask to see that detail in a contract.
- if the agreement states you should sell is thete a time limit?
- If you don't or can't sell what happens?

I would also seriously caution handing over anymore money at this point.

It could actually potentially take years to force a sale. Do not be pressured into anything. Speak to solicitor and maybe bring a family member for support
 
dubdub123 said:
It could actually potentially take years to force a sale.
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that is factually correct but not the right approach in my opinion.

He has a right to be able to buy a home as well.

So you need to do what is reasonable to facilitate him.

If you agreed to get his name off the mortgage, then you should do that. If that means selling the house, then you will have to do that to honour your agreement.

Brendan
 
I don’t think there is anything else you can do.

You have raised €90K from family & friends as a loan repayable on your death which you have given to your ex.

You have moved the title to your name only.

You are paying the €169K outstanding mortgage from your income of €29K pa. Given your income the bank will not remove your ex from mortgage.

Due to your recognised disability you cannot work longer.

If you sell the house you will end up homeless eventually, even if you rent., After paying back the €90K you borrowed you will end up with €200K ish in cash, your income down to €17K pa and no ability to get a home loan to purchase a new home for yourself as repayments will be unaffordable. Once you rent your cash savings will run out as you will probably never afford to save on your income.

This all has to be obvious to your ex also, so the next steps would probably be on his side to force a sale. If you were not aware that it would be impossible for you to continue to live in the house and get his name off the mortgage then you were badly advised when you drew up the agreement to give him €90K.
 
I'm amazed a bank allowed the take up of title deeds to put it in only your name with him remaining on the mortgage.

For the people who loaned you 90K they don't seem to have any legal rights as it sounds like they gave cash with a vague 'it will come out of an inheritance'. Also seems it's multiple people. Is there anything in writing at all?

If you sell the house for 460K - 170K = 290 less 10 costs leaves 280K to buy a mortgage free property. Depending on where you are is this possible. And is it possible to still do rent a room.

The friends/family should have some kind of written agreement for the 90K though. But if the above is possible, and you are mortgage free, then let's assume currently you are paying 1K a month, put that saving as a prepayment to those that were kind to you, starting with friends and then moving to family. Taking about 10 years to pay off.

Strange your ex was willing to go for 90K if he paid down most of the equity already. But he's off the title so she could do this.
 
Bronte said:
For the people who loaned you 90K they don't seem to have any legal rights as it sounds like they gave cash with a vague 'it will come out of an inheritance'. Also seems it's multiple people. Is there anything in writing at all?
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This is not the issue facing the OP. Family often lend money to help their family members out of a hole and don't do up formal legal documents.

the OP has not mentioned any pressure to repay the loan.

focus on the problem of dealing with her ex.

Brendan
 
Clamball said:
I don’t think there is anything else you can do.

You have raised €90K from family & friends as a loan repayable on your death which you have given to your ex.

You have moved the title to your name only.

You are paying the €169K outstanding mortgage from your income of €29K pa. Given your income the bank will not remove your ex from mortgage.

Due to your recognised disability you cannot work longer.

If you sell the house you will end up homeless eventually, even if you rent., After paying back the €90K you borrowed you will end up with €200K ish in cash, your income down to €17K pa and no ability to get a home loan to purchase a new home for yourself as repayments will be unaffordable. Once you rent your cash savings will run out as you will probably never afford to save on your income.

This all has to be obvious to your ex also, so the next steps would probably be on his side to force a sale. If you were not aware that it would be impossible for you to continue to live in the house and get his name off the mortgage then you were badly advised when you drew up the agreement to give him €90K.
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There is also a huge consideration regarding Disability Allowance as it is a means tested payment and OP may find themselves without any income at that point.
I'd have concerms here that the ex is calling all the shots and putting OP under severe pressure. This may be a very vulnerable person.
OP needs to sit tight and speak to solicitor. This could have massive impact on OP. I think anyone saying for OP to sell should reign themselves in as we absolutely don't have full information here and that action could leave OP homeless and without income. They could also lose secondary supports that are in place.
 
Bronte said:
I'm amazed a bank allowed the take up of title deeds to put it in only your name with him remaining on the mortgage.

For the people who loaned you 90K they don't seem to have any legal rights as it sounds like they gave cash with a vague 'it will come out of an inheritance'. Also seems it's multiple people. Is there anything in writing at all?

If you sell the house for 460K - 170K = 290 less 10 costs leaves 280K to buy a mortgage free property. Depending on where you are is this possible. And is it possible to still do rent a room.

The friends/family should have some kind of written agreement for the 90K though. But if the above is possible, and you are mortgage free, then let's assume currently you are paying 1K a month, put that saving as a prepayment to those that were kind to you, starting with friends and then moving to family. Taking about 10 years to pay off.

Strange your ex was willing to go for 90K if he paid down most of the equity already. But he's off the title so she could do this.
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But we don't know who paid down the equity over the years, or who may have gotten money fron family.. this whole setup sounds off and I'd be concerned in whether OP is seeking and getting appropriate legal advice. The ex left earlier this year and already 90k has crossed hands. This process needs to slow down so OP ensures they are getting good advice and that the information they have is accurate.
 
dubdub123 said:
I think anyone saying for OP to sell should reign themselves in
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But we have to accept that it was a jointly owned house and she agreed to get her ex off the mortgage.

I have sympathy for the OP but this needs to be balanced against the needs of the ex.
 
dubdub123 said:
But we don't know who paid down the equity over the years,
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You are correct.

But there is about €290k equity for which the OP has paid €90k. Without further information, she appears to have received good value.

But it sounds as if they were both poorly advised.

Brendan
 
Brendan Burgess said:
that is factually correct but not the right approach in my opinion.

He has a right to be able to buy a home as well.

So you need to do what is reasonable to facilitate him.

If you agreed to get his name off the mortgage, then you should do that. If that means selling the house, then you will have to do that to honour your agreement.

Brendan
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There are huge implications to OP. We do not have the full picture. OP needs to determine what legally they need to do.

Thete was also an onus on the ex to enter an agreement that was sustainable, right now they are 90k up and putting pressure on OP to sell within a few months of moving out. By anyone's standards that is extremely fast.

OP needs proper legal advice. We do not have full context whatsoever. I'd be concerned that there could be some manipulation here as OP is reacting to what ex is saying.

Slow this down, get advice.
 
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