Q About five years ago my partner moved into my house with me. I had an outstanding mortgage of just under £40,000.
My partner wanted to own a 50% share of the property so we had the house valued and used the middle of the three valuations which was £240,000, so she gave me a cash amount of £120,000. I decided to pay off the outstanding mortgage using money from her £120,000 cash. I am now concerned that my partner should have contributed to paying off the existing mortgage as if I had decided to keep the mortgage she would have had to contribute to the monthly mortgage figure. It was my partner’s suggestion to pay off the mortgage using money from the £120,000 she had given me.
Have I been misled here? It is really worrying me, any advice you could give me would be appreciated. We did get a solicitor to put in writing that she owned 50% of the property but there were no details of how she became entitled to the 50%.
A No you have not been misled, and I don’t understand why you think she should have contributed to paying off the mortgage. She wanted to buy a half share in the property and did so by paying you £120,000. If she had paid off half the mortgage as well as paying you £120,000 in cash, her share in the property should have increased to just over 58% because she would have effectively paid you £140,000.
I also don’t understand why you think that your partner should have contributed to the monthly mortgage repayments if you had not paid off the mortgage. That would be a reasonable assumption only if she had taken on half the mortgage – so £20,000 of it – and paid you only £100,000 in cash for her 50% share, making a total contribution of £120,000.
If anyone should be worried it is your partner. If I were her, I would want to know not just that a solicitor put it in writing but that same solicitor added her name at the Land Registry. She can check by paying a small fee and clicking on the “start now” button here.