Hi All,
Bit of a tricky one that I need some advice with.
I bought a 2 bed apartment in Dublin in Sept 2006 for 317k, at the time I needed help to get the mortgage, so my sister stepped in with a 20% share. (ie. she paid 20% of the €26k deposit and her name was put on the deeds with me and we wrote up an 80/20 friends agreement with our solicitor). It is my PPR and she lives outside Ireland and has no intention of moving home and was really doing it as a mini investment and to help me out at the time.
When I realised soon into the mortgage that it was going to be a much longer time before she would see any return on her investment I told her the best bet would be for her to step out and me to take over the full mortgage. Also in that time my salary increased to €70k which makes the €1,213 pm (4.9 fixed rate) totally affordable.
So all she really needs is her €5.5k back from the deposit and she's happy as larry. She expects nothing else. My problem is that inorder to do that (cause we stupidly put her name on the deeds) ,I will incur solicitor fees, have to remortgage in my name alone, potentially lose my FTB status (is that right?) and consequently have a reduction in TRS by about €100 a month.
Is there any simpler way around this? All I want at the end of the day is to get her name off the deeds. I have no intention of selling for at least 5 years, so I could just let things stay the way they are, givve her the €5.5K and sort it out down the line. Or is ther another option?
Appreciate your opinions on this one.
Bit of a tricky one that I need some advice with.
I bought a 2 bed apartment in Dublin in Sept 2006 for 317k, at the time I needed help to get the mortgage, so my sister stepped in with a 20% share. (ie. she paid 20% of the €26k deposit and her name was put on the deeds with me and we wrote up an 80/20 friends agreement with our solicitor). It is my PPR and she lives outside Ireland and has no intention of moving home and was really doing it as a mini investment and to help me out at the time.
When I realised soon into the mortgage that it was going to be a much longer time before she would see any return on her investment I told her the best bet would be for her to step out and me to take over the full mortgage. Also in that time my salary increased to €70k which makes the €1,213 pm (4.9 fixed rate) totally affordable.
So all she really needs is her €5.5k back from the deposit and she's happy as larry. She expects nothing else. My problem is that inorder to do that (cause we stupidly put her name on the deeds) ,I will incur solicitor fees, have to remortgage in my name alone, potentially lose my FTB status (is that right?) and consequently have a reduction in TRS by about €100 a month.
Is there any simpler way around this? All I want at the end of the day is to get her name off the deeds. I have no intention of selling for at least 5 years, so I could just let things stay the way they are, givve her the €5.5K and sort it out down the line. Or is ther another option?
Appreciate your opinions on this one.