Paying fiance's mortgage

[EmmaM]

My fiance and I live together in the house I purchased a number of years ago. We are in a quandry as to know what to do about rent / mortgage. Should he pay me rent or should he buy half of the house from me so he feels he is investing in something rather than paying "my" mortgage? What do couples normally do?

 

[ButtermilkJa]

The ideal situation for you would be for him to pay rent for the privilege of living in the house but not claim any ownership rights. In other words he would be a regular tenant. If anything were to happen in the future and you split up there would be no complicated issues to sort out.

However, as you are not just a 'couple', but are engaged, I'm sure you both want to build a home together so treating your fiancé as a tenant might not sit too well

Another option might be for you to continue paying the mortgage by yourself and let him save his money. In the future when you go to buy a new home, he can use his savings and you can use your equity (if any?) and start afresh 50:50 with the new property. This way he gains from living 'rent free' and you gain from keeping full ownership of your property.

I'm sure others who have been in the same situation can suggest other option?

 

[mathepac]

This has been covered a number of times here; try using the search facility to see pro and con for a number of suggestions.

 

[dazza21ie]

Obviously since you have agreed to marry there must be some trust there. The most efficient thing to do from a tax point of view would be keep the status quo, let him pay the mortgage without doing any changes until after you get married if at all. Once married he would have the benefit of the Family Home Protection Act so he has a little more security.
If, however, you were to break up without doing any changes on title then it could lead to a nasty court case.