B*gger. My own relationship breakdown thread!
B*gger. My own relationship breakdown thread!
Author
Discussion

UpTheIron

Original Poster:

4,046 posts

284 months

Saturday 3rd September 2011
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The initial message was deleted from this topic on 28 April 2012 at 09:35

UpTheIron

Original Poster:

4,046 posts

284 months

Saturday 3rd September 2011
quotequote all
The initial message was deleted from this topic on 28 April 2012 at 09:35

bimsb6

8,442 posts

237 months

Saturday 3rd September 2011
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1 speak to lender
2 as above
3 i wouldn't trust an ex !

mcflurry

9,179 posts

269 months

Saturday 3rd September 2011
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Have you exchanged contracts?

As for 50/50- if she doesn't pay then your jointly liable for the full amount, and vice versa..

hyperblue

2,835 posts

196 months

Saturday 3rd September 2011
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If you haven't completed, why can't you walk away?

Kermit power

29,622 posts

229 months

Saturday 3rd September 2011
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How much deposit will you stand to lose by walking away now?

Subtract that from any early redemption penalties on the mortgage, a second set of estate agent's fees, mortgage payments until you can sell the property etc... If you're left with a positive number, then walk away and accept the loss of the deposit.

BuzzLightyear

1,426 posts

198 months

Saturday 3rd September 2011
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hyperblue said:
If you haven't completed, why can't you walk away?
If they've already exchanged contracts, they would still have to pay their 10% deposit over although this might be the better / cheaper option for the OP in the longer run? Will p**s off everyone else in the chain though!

Jasandjules

71,238 posts

245 months

Saturday 3rd September 2011
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In your shoes I would consider creating a nice contract between yourself and the OH to let out the property for a bit so as to service the mortgage until you don't pay a penalty on it. Might also make a bit of money which could of course be divided 50:50....

ClaphamGT3

11,801 posts

259 months

Saturday 3rd September 2011
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Providing the lender is supportive, if you and the ex are getting on amicably and you don't need the equity, why not operate it as a BTL and make some money?

s3fella

10,524 posts

203 months

Saturday 3rd September 2011
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Who's been shaggin, you or her?

Steffan

10,362 posts

244 months

Saturday 3rd September 2011
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Kermit power said:
How much deposit will you stand to lose by walking away now?

Subtract that from any early redemption penalties on the mortgage, a second set of estate agent's fees, mortgage payments until you can sell the property etc... If you're left with a positive number, then walk away and accept the loss of the deposit.
Reneging on an exchanged contract for the purchase of a house does not limit the liability of the renegade (person renaging?!) to the value of the deposit.

Commonly sellers do not pursue the defaulter, but there have been cases where the defaulter has been bankrupted. The Cube in Birmingham is an example.

In this market it might be cheaper than buying and selling with penalties etc.

But it is a gamble. Good luck

Sarnie

8,233 posts

225 months

Saturday 3rd September 2011
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UpTheIron said:
...although I'm going to skip the usual interesting stuff. Looks like the OH and I have just hit the end of the road. Timing is crap through... due to complete on what was to be our future home next week.

So, practical stuff:

Morals aside, I assume there is no sensible way to extract ourselves from the (joint) purchase. Fortunately we were both keeping our own properties, so there is no homelessness issue.

Assuming we go ahead with the purchase, I have a few questions.

1. Is there any chance of getting our lender (Halifax) to switch from a fixed deal (with penalty) to a variable deal at this late stage (thus avoiding a £12k penalty when we no doubt sell ASAP).

2. Is there any way to switch the purchase to a sole (rather than joint) purchase at such a late stage (earnings/mortgage qualification not likely to be an issue)

3. Assuming the grown up thing is to purchase, jointly contribute to the running of the (empty) house and then sell ASAP and split the equity 50:50, what should I consider legally (we're not married). What if the OH doesn't pay her half (we would have been splitting everything 50:50).

You can get Halifax to re-offer the mortage for you only, if you want. You can switch to a deal with no/less ERC's too. The downside is that the application process will need to be started again.