Buying out my partner's share in house

B

Buyout

Guest
Hi,

We bought as first time buyers. I am now buying out his share. We bought for 380k. I am approved for the full mortgage of 380k. The mortgage was 100% mortgage. House is now valued at 365k. It is in negative equity. My partner wants money for contents plus his stamp duty back, equal to about 7k. I said the house is in debt of 15k so technically he would owe me 7k to get out of mortgage. Do people usually pay the other person to take over house, even when its in negative equity.

Also he wants me to pay for the solicitors fee's of 1300. This covers cost of removing his name from mortgage and deeds, and doing searches on property etc.

Anyone any ideas

Thanks
 
Well if giving him money for contents remember to factor in depreciation, at the end of the day he is going to leave debt free so its a bit cheeky asking you to pay his solicitors fees ! My friend was in this situation and she didn't pay the solrs fees or his stamp duty !
 
Why should he get the Stamp Duty back? It got paid to the Government and is gone. If you bought something for €380,000 and it's now worth €365,000 then his half is worth €182,500. Sure offer him something for contents. He can pay for his own legal bills.

When you say you're approved for €380,000, does the lender know that the property is now worth €365,000?
 
Well the bank hasnt asked for the details of the value of the house. As far as I know they are just going to change the name on the mortgage. I am waiting for them to get back to me anyway.

Also my partner is asking for money to leave the house and he is basically saying he wants the cost of the stamp duty becasue he doesnt want to walk away with nothing. But I have said, I am going to be in at a loss of 15k minimum. But he doesnt see that. He is getting legal advice so I hope the solicitor will set him straight.

Also thanks for the advice on the depreciation. I think I will factor that in.

Thanks
 
It sounds like he's kind of messing with you - have you compared the deal you'd both get if you sold it? It might be smarter.
 
Buyout, you should be getting your own legal advice as well as something like this sounds like it could get messy.
 
Yes I have was have had a valuation and it basically means we would both stand to owe the bank at least 7k each from selling. And I told him that doesnt include estate agents costs or legal fees. I told him we only have 3 options. He buys it, I buy it or we sell. I have offered for him to buy it, and I have only asked for money for half the contents. But he isnt able to afford it. So the there are 2 options left. I buy it and he can gain X amount of money or we sell and he looses 7k + . I think I will get some legal advice too. It is very messy.

Thanks for your advice.
 
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