Relationship breakup and property in both names

[JJ2013]

Basic facts: Property with ex partner for 6 years and split up recently. Bought in 2006. Mortgage value currently 270k and MV currently circa 190, negative equity circa 80k. Partner left and I currently reside in property. He has now started contributing to his half of the mortgage however i do not see this continuing long term. The option to sell does not appeal to me because the neg equity loan would still be joint and severally liable. My question is am i stupid to ask him to sign over to me and take this on myself and let him effectively walk away? I know the steps I need to take to show the bank i can afford on my own etc. Another question is that would there be any option whereby he signs over to me and the bank give him a loan in his name even say for 20k towards the neg equity? I don't want to let this situation drag on and it will take me 6-7 months to get things in order financially to approach the bank. Just want opinions or advice here on the above. It is sadly comforting to know I am not alone. Many thanks

 

[Bronte]

. The option to sell does not appeal to me because the neg equity loan would still be joint and severally liable.

What is it you want, start from there.

Then what can you do, is the next step. Will the bank let you sell and pay the negative equity over time.

Will the bank allow the mortgage to go solely into your name and will your ex sign for this.

Finally what is the best thing to do. To get out of negative equity and to have no financial ties with your ex is the obvious answer. So selling if the bank allows you to is the best option. Then you can rent, and maybe you and your ex could speed up payments on the NE to clear is as soon as possible. This would the option I would choose, unless you have an exceedingly good reason for hanging onto the house.

 

[JJ2013]

Yes I do understand all the bankground issue re payments and renting room etc. Those details i'm not worried about at all. It is the long term effect of this situation to me. I don't want this person in my life anymore (sounds extreme i know but true). My reasons for keeping the apartment in my name is for the following reasons, my parents gave us the deposit. I have furnished the place, he has been out of work for 3 years and I paid for everything. If i go to try and sell if allowed I will be left with nothing only debt AND will still be tied to him. To be honest my main concern is the negative e loan if we were to sell, he cannot be trusted to keep this up and could possibly ruin my credit rating. I like where i live it is my home and if it was in my name don't want to move.... Just taking over his portion of the neg e is whats causing me concern and wondered if there was ANYTHING that can be done about that bit of it i suppose....

 

[Bronte]

It is the long term effect of this situation to me. I don't want this person in my life anymore (sounds extreme i know but true). ....

Not one bit extreme, but completely honest and realistic and logical as well.

The next bit is why you want to keep it:

1. my parents gave us the deposit.
2. I have furnished the place,
3. he has been out of work for 3 years
4. and I paid for everything.

None of the above is relevant. Deposit is gone, you still have the furniture, so what he's been out of work for 3 years, that's the way Ireland is, not his fault, and why wouldn't you pay for everything if he couldn't afford to do so, that's just resentment (I'm being very blunt here, but we need to talk figures)

Final bit

1. If i go to try and sell if allowed I will be left with nothing only debt AND will still be tied to him.
2. To be honest my main concern is the negative equity loan if we were to sell,
3. he cannot be trusted to keep this up and could possibly ruin my credit rating.
4. I like where i live it is my home and if it was in my name don't want to move....
5.Just taking over his portion of the negative equity is whats causing me concern and wondered if there was ANYTHING that can be done about that bit of it i suppose

I'll take these one by one.

1. You won't be left with nothing if you sell, you will be free of a house that you ties you to a partner who want nothing to do with, it's only a house and there will be houses again for you in the future. And keeping the house jointly and living together in it is only going to get worse when one or other of you gets a new partner.
2. Don't worry about the negative equity if you can afford it. If you cannot afford it, it will be taken care of by the insolvency legislation, if you can afford it, well you made a financial decision that went sour, unfortunatly in life not all financial decisions work out for the best, but if you can solve that by you and he or even just you paying back the NE then that is a good start to getting your life back on track.
3. He cannot be trusted, better you learn this now, it has happened to all of us in our relationships, better it happens while young and where one can start again and haven't made the even bigger mistake of marrying them or worse having kids mixed into the equation.
4. So you love where you live and you think you've the means to do it on your own, then go for it, but don't have regrets.
5. If he doesn't have money what is the point of trying to make him liable for the NE. He is liable, but that's no good to you when he cannot pay you anything.

None of the above is intended to hurt you. Like many others in your situation who've come on AAM you're looking for a magic wand. There isn't one I'm afraid. But sensible cold financial advice is what is needed where a relationship has broken down, money is at issue and one partner has no money.