Deposit determining share in property?

B

bartel

Guest
Hi,

If I have paid the full deposit on a property, full legal fees and subsequent 10k on refurbishment (all can be clearly traced from my Bank Account) what share am I likely to get from the property if it were to end up as a court matter?

All mortgage repayments were equilly paid between us as we both worked.
We are on deeds as joint owners.

Any ideas?

Thanks very much.
 
First suggestion is that you not let it end up in court. If it does, you'll both lose out.

If I were faced with the situation, I'd probably ask for an agreement which would work out as:
([Net equity - (initial deposit + legal fees + refurbishment costs)] / 2) + (initial deposit + legal fees + refurbishment costs)
with net equity defined as the capital sum realised from the sale after deduction of legal and estate agent's fees.

But I'd make it a negotiation with the other person and not via the courts: if you go down the court route, you'll stand to lose a lot more in legal fees than you would lose by splitting down the middle, which should be [in my strictly amateur none-of-this-is-legal-advice opinion] your worst case fall back position. The other person may be able to argue intangible contributions (whether it's valid or not, it can be used in court to assert a greater claim) to do with maintenance / cleaning / gardening / cooking / decoration... and believe me, if you want to take the thing to court, it'll cost you.

I definitely wouldn't try to enforce the initial additional contribution as determining proportion of equity - you'll just end up with a fight on your hands. You could possibly approach it by saying that look, you feel you could press for the initial contribution to determine proportion of current equity but that you won't because you're keen to come to an amicable agreement. If negotiating doesn't work, at least if you then go the legal route you may be perceived to have attempted a reasonable solution in what are presumably, though you don't relate the background, difficult circumstances.
 
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Because you are a joint owner on the property you get exactly half of the proceeds of the property.

But cannot see why the other party could not reimburse you for your initial outlay (half off). If the other party agrees to top that up with the fact that you 'lost' out on interest then all the better but if not I would not pursue it. It will just cost you more in the long run.
 
Thanks for your replys.
I don't think I'll have any choice but to persue it through court as he's initiating property proceedings against the house. I have three children with him but I don't think it matters to the courts. We were never married. After the house is sold I will not have enough to purchase another home with current market prices.

Was hoping to hear that my deposit may have given me more of a share than 50/50.

I may have to accept 50% then or else represent myself in court. It can't be that complicated surely, just a matter of showing bank statements and proof of payments etc.

Thanks again.
 
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