Building a house on someone elses land - rights

Laura123house

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3
I am a newly wed. My husband and I plan to build a home on land that his father has given to him. My question is, the land is in his name only. Our plans, that we have nearly complete and almost ready to submit for planning permission, are in his name only.

We have been saving jointly into a joint account and will be applying for a mortgage jointly.

My question is god forbid in years to come if we end up splitting up, would I end up homeless? Will I have any rights to the home in the land is in his name alone?

Thank you
 

NoRegretsCoyote

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635
No. You will not become homeless.

If you split up without kids then I guess any divorce arrangement would have to take into consideration the income of both of you, and who has contributed what to the cost of the house.

If you split up with kids all of the above subject of course to kids having a roof over their heads, with this the dominant concern.

The only thing is that in a very messy situation you may find it difficult to stay living cheek-by-jowl with his father.

Finally: the fact that the planning application is in his name only is irrelevant.
 

Laura123house

New Member
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No. You will not become homeless.

If you split up without kids then I guess any divorce arrangement would have to take into consideration the income of both of you, and who has contributed what to the cost of the house.

If you split up with kids all of the above subject of course to kids having a roof over their heads, with this the dominant concern.

The only thing is that in a very messy situation you may find it difficult to stay living cheek-by-jowl with his father.

Finally: the fact that the planning application is in his name only is irrelevant.

Thank you so much for your advice.
Obviously I have no plans to split up from my husband but just wanted to check that I would have rights before I agree to taking out a mortgage and building a house on land that is not in my name, if something should happen in the future.

Your advice was reassuring so thank you for taking the time to reply to me.
 

NoRegretsCoyote

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635
It might make sense to put the land as well as the house in your name.

You'll have to deal with a solicitor at some stage anyway and I think this would make this easiest.
 

JohnJay

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872
my brother did this 20+ years ago. The bank insisted that the site was put in to joint names with him and his wife before they would give them a mortgage. I dont know if its still that way, but I am guessing it might be.
 

Bronte

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13,368
Will I have any rights to the home in the land is in his name alone?
Have you and your husband not had a conversation about this? There is no way I'd agree to a mortgage if the site wasn't transferred into joint names. Things should be clear financially in a relationship, particularly as you are married, building a house and presumably going to have children.
 

Monbretia

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1,633
Is there a tax implication in transferring it straightaway into both names? Usually the only reason this would not be done once mortgage was set up on property, it's no harm having the site in one name initially as when the house is built and registered then it is usually put in joint names, unless of course there is that tax issue.
 

AntArchiTech

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2
This question comes up on the salf build group alot, (and Im open to correction) but Im pretty sure the bank will insist on the land being both your names before they will approve the mortgage, so prior to completing the mortgage process they will insist on the land being tranferred and yes I pretty sure there might be capital gains tax on the transfer.
Also the planners might also insist on the site tranfer before they grant permission . .
 

Monbretia

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No the bank won't insist on it before the mortgage approval but it would more than likely be a condition that it would be in joint names when new property is being registered although it can be possible to put deeds in sole name with some banks if there is a tax issue but in general the putting in joint names is going to be done by the solicitor and would probably form part of their undertaking when requesting first drawdown.

I'm sure some solicitor here :) can confirm what sequence of events exactly applies but it definitely should not stop you applying for a mortgage.
 
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