We hope deal will go ahead but bank may not allow it.The house is in negative equity.
The ex husband is willing to take over the negative equity , release her from the mortgage and take her off the title. What's the problem? Sounds like a pretty good idea to me.
And if it does not go ahead? He'll pay the mortgage, she'll still be on the title and they'll both need to consent when and if the house is to be sold.
I imagine there could be some negotiation about divvying up the sale proceeds, if she has not paid the mortgage?
It could also be argued that him paying the whole mortgage amounts to him renting her share of the house.
mf
Because it may not have any profit made on it. It is currently in negative equity. This is what she should weigh up. Personally I think getting a clean break is the best option.So why should he receive any more in a few years than she would if the house was sold?
Because it may not have any profit made on it. It is currently in negative equity. This is what she should weigh up. Personally I think getting a clean break is the best option.
I suppose your friend will have to weigh up the risk of missing out on any future equity in the house against being financially attached to the house for years to come and having to deal with her ex. If she consents to him and his partner taking over the mortgage/house (assuming the bank would entertain the idea) then she is free of that debt and can move on. It would be foolish of her to hold off on the chance of him ever wanting to sell in the future and on the chance of the house selling for a profit. Would she prefer to sell the house now and have to pay the bank half of the shortfall owed on the mortgage? Doubtful, so she doesn't get to say that she should be entitled to half the proceeds if it ever makes a profit in years to come, after her ex and his partner pay the mortgage.
Your friend is very foolish indeed. She can walk away from NE, her ex took care of the hassle of renting included the rental tax and she’s mulling up a potential profit in 20 years.A clean break would be best yes but the you know what banks are like.
If it does make any profit in time I dont see why it would not be split 50/50, even though he has paid the mortgage but as I said above she had to pay rent elsewhere.
If you are her real friend don't be bringing up things that are clouding her judgement,Working on a clean break now rather than allow things to drag on for 20 years is best,A clean break would be best yes but the you know what banks are like.
If it does make any profit in time I dont see why it would not be split 50/50, even though he has paid the mortgage but as I said above she had to pay rent elsewhere.
She can walk away from NE - the bank didn’t say she could. She is hoping they will but bank are dragging their feet.Your friend is very foolish indeed. She can walk away from NE, her ex took care of the hassle of renting included the rental tax and she’s mulling up a potential profit in 20 years.
If you are her real friend don't be bringing up things that are clouding her judgement,Working on a clean break now rather than allow things to drag on for 20 years is best,
Your friend needs legal advice in that scenario. There are many different circumstances so you won't get advice without the full facts, including reviewing the title documents.Or what about if it doesnt, he is in house paying mortgage off does this give him greater rights,
Not to sure on the divorced/separated thing
With respect, and I know you are trying to help, the best help you can give your friend is tell her to talk to a solicitor that can go through her full circumstances.Looking for some help for a friend.
Tell your friend to take the emotion out of the decision, get the green eyed monster off her shoulder, and do what's best for her financially.Thank you. Not to sure on the divorced/separated thing.
If she has to pay 50k negative equity she would not be able to get another mortgage, so in the event she would be just better having tenant (ex is new tenant) paying off mortgage until negative equity reduced.
Tell your friend to take the emotion out of the decision, get the green eyed monster off her shoulder, and do what's best for her financially.
Forget about what her ex might or might not get in the future. It is not relevant.
I’m not sure if you are trying to be smart about emotion or green eyed monster. If you read the post its about making sure she gets her FAIR share in future not really about what he gets.
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