Want to put partner on mortgage - legalities?

W

whitebog

Guest
Hi All, apologies if this has been answered before - I have searched and not come up with anything.

I own my own house ( well I will do, in another 27 years or so!!) Anyway my partner moved in just over a year ago and has been giving me money ever since to cover his share of things. Financially, we have both been paying half of everything each, but the house is still in my name only.
Up to now, we never really gave it much thought but I am expecting our first child and it has made me think about things
EG. If I die, the mortgage would be paid off and both he and the child would not have to worry about a roof over their heads. (no probs there) On the other hand, if he dies, I am left with a child, a mortgage and only one income.
I would like to put the house in both names ( he has some money that we would use to reduce the "new" amount borrowed) - Does this involve extra work regarding solicitors or would it be a straight forward "new" mortgage. My thinking is that it wouldn't be as technically "I" am selling the house to "us". Has anyone else added a partners name to mortgage and did it cost a fortune in solicitors fees?
THanks to all
 
whitebog said:
EG. If I die, the mortgage would be paid off and both he and the child would not have to worry about a roof over their heads. (no probs there) On the other hand, if he dies, I am left with a child, a mortgage and only one income.
?
THanks to all
Click to expand...

Are you referring to life policies or the actual mortgage?

If you are transferring the mortgage into joint names you will need your lender to agree to this. If they do (providing he's eligible for a mortgage) then you need to organise your solicitor to transfer the title deeds into joint names.

A standard condition of having a mortgage is to have life cover in place. Therefore if the mortgage is in joint names should anything happen to either person the mortgage should be effectively cleared.

However you can also take out a joint life cover policy which is maybe what you are referring to? If so you will need something in place (legal agreement/will) to have each partner named as sole beneficiary.
 
I think the OP is being pretty clear...the mortgage is in her name so if she dies it will be cleared by the mandatory mortgage protection cover. However if her partner dies she will be left with a child and a mortgage as his life is obviously not covered by the mandatory mortgage protection cover because he is not named on the mortgage despite his contribution to the family finances.
Is this man your husband or will he be soon? Transferring a half share of your house to him may create tax issues which would not arise if you were married. Apologies if this is not an option!
 
If transferring the mortgage then have it transferred into joint title rather than 1/2 share. Its an easier way to ensure the surviving partner is the beneficiary.
 
thanks for both your responses - that was quick!!
Sorry if 'I was a bit unclear - KalEl, you have picked upi corectly. He is not my husband and no plans to change that. Not sure if it makes a difference but he is a separatee. His ex wife has since bought her own home and he has no claim on that so we are assuming that that makes things ok for us too. ( will still double check with sol tho!).
The Tax issue that you mentioned - what might this involve? The fact that he would be a joint owner of a mortgage that is a lot less than the value of the property? I mean, if he became a joint owner of the current mortgage amount and worst case scenario, things dont work out between us, he makes a handy few bob from sale?
thanks again,
wb
 
If you put the house in joint names, you are giving him half your house, and he is not a relative under tax law. You will have gift tax issues.

How about him getting a life assurance policy with you as the benificiary.

If getting married is not possible, or is not your wish, you should talk to a solictor and accountant about the legal and tax issues of being an unmarried couple in Ireland.
 
Is there a legal separation in place? To prevent your partners ex having any claim on property owned by him?

If 50/50 how much was your original mortgage? How much did you pay off before your partner moved in and started contributing? Is your partner putting in a lumpsum to offset his share of the difference?

Regarding your question of splitting up - you could have an agreement drawn up stating how much each party has put into the property and what you each walk away with. There are other threads with drafts of such an agreement on this site.

Your best advice would be to consult a solicitor.
 
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