Joint Mortgage on Property following seperation from partner

[leonmc0708]

I split up with the missus in late 2010 and we had a jointly mortgaged house.

When she moved out there were arrears and utility bills and arrears on a joint loan for home improvements which I have since paid up.

The house is in negative equity as we got a 95% mortgage and the price has dropped like a stone since then with the crash and all.

She wants me to have her name removed but I have spoken to the bank and they cant just do this and need to reapply which my credit file will not allow right now. So I cant remortgage just in my name.

She has sent a letter through a solicitor earlier this year demanding I remove her name (which I cant) or she will apply to the court to force a sale. I cant so did not respond.

She has since sent a letter from herself claiming to be on the advice of her solicitor but its all over the show and I doubt a solicitor advised as the wording content context etc are shocking. I think the solicitor may have advised her they cant help so she would need to do it herself.

My questions are:

Can someone force a sale on a joint mortgage ?

Would a solicitor advise a client to write to the other party themselves or does this indicate she is on shakey ground ?

If I cant remortgage and there is negative equity would a court demand a sale that leaves us both in a worse position ?

Thanks in advance

[nemesis45]

Re: Joint Mortgage on Property following seperation from partner

I split up with the missus in late 2010 and we had a jointly mortgaged house.

When she moved out there were arrears and utility bills and arrears on a joint loan for home improvements which I have since paid up.

The house is in negative equity as we got a 95% mortgage and the price has dropped like a stone since then with the crash and all.

She wants me to have her name removed but I have spoken to the bank and they cant just do this and need to reapply which my credit file will not allow right now. So I cant remortgage just in my name.

She has sent a letter through a solicitor earlier this year demanding I remove her name (which I cant) or she will apply to the court to force a sale. I cant so did not respond.

She has since sent a letter from herself claiming to be on the advice of her solicitor but its all over the show and I doubt a solicitor advised as the wording content context etc are shocking. I think the solicitor may have advised her they cant help so she would need to do it herself.

My questions are:

Can someone force a sale on a joint mortgage ?

Would a solicitor advise a client to write to the other party themselves or does this indicate she is on shakey ground ?

If I cant remortgage and there is negative equity would a court demand a sale that leaves us both in a worse position ?

Thanks in advance

Hi welcome to LB.

With a joint mortgage the usual " take " nothing can be done unless both parties agree, your ex can't just say I'm not playing any more she is still liable with you for the mortgage payments.
One party can attempt to force sale, but a judge will consider all the facts and all the options before making any order for sale.
I would think it would pay you both to hang on to the house until some upward move in prices comes about as selling at this stage will result in a considerable shortfall for which you will both still be liable.

nem

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

Thanks for the reply - I was under the impression it was joint liability and not fair or allowed for her to make demands such as that.

I have for 5 years paid the mortgage and got the thing back into credit.

Would you advise me sending her/her solicitor a letter to state the kind of figures I have paid (thus believe I am owed out of the property) and state that I cant remortgage so I suggest we wait until there is an upturn in the market sufficient enough to allow us both to take the equity/or for me to be able to get a loan against hte equity to "buy her out" ?

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

sorry one point on the solicitor's letter I got earlier this year the line suggests that:

"Should this be necessary we would also be claiming our clients legal costs given that she has attempted to resolve this matter amicably without the need to issue court proceedings"

This isnt true in that she left me with the bills and paying hte mortgage on my own to the tune of £35625 (£625 a month for 4.75 years) (plus the arrears) and the payments on the loan again in both our names (£11970 a month for 4.75 years).

[nemesis45]

Re: Joint Mortgage on Property following seperation from partner

sorry one point on the solicitor's letter I got earlier this year the line suggests that:

"Should this be necessary we would also be claiming our clients legal costs given that she has attempted to resolve this matter amicably without the need to issue court proceedings"

This isnt true in that she left me with the bills and paying hte mortgage on my own to the tune of £35625 (£625 a month for 4.75 years) (plus the arrears) and the payments on the loan again in both our names (£11970 a month for 4.75 years).

I don't think a judge would make an order for sale under those circumstances.

Did you reject/refute the allegations in the sols letter?

I would refute / reject all the content of the sols letter and give the reasons why you are doing so and state that you believe any such action is doomed to fail.

Recorded delivery from now on all letters for your own security.

nem

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

I didn't send any response to the solicitor's letter or hers - is there any area on the forum with guidelines on doing that at all please ?

[nemesis45]

Re: Joint Mortgage on Property following seperation from partner

I didn't send any response to the solicitor's letter or hers - is there any area on the forum with guidelines on doing that at all please ?

No I don't think so, a situation such as yours although not unique is to say the least " individual" .

It would need each point of the letter (s) to be listed and refuted and any suggested remedy put forward.
nem

[MissFM]

Re: Joint Mortgage on Property following seperation from partner

Hi Leon,

Your situation seems almost identical to that of the OP's partner on this thread:

http://www.legalbeagles.info/forums/...777#post576777

Not being a financial wizard, I'm hoping the other beagles can answer the question as to whether it would, in fact, be possible to simply offset all the financial advantages that the ex has enjoyed against any remaining equity in her share of the house even though it's in joint names/jointly mortgaged (because you can't get a new mortgage)? Taking an equal division of what was originally in the pot as a base line (so quite meticulous arithmetic, I would imagine).

Is there any legal mechanism for this? (eg the OP owns the house and indemnifies the ex against mortgage payments and undertakes to pay her anything due over and above what she's already had should the house sell) It just seems both sensible and fair. It would be crazy to force the sale of the property now, at a loss to both.

Would you advise me sending her/her solicitor a letter to state the kind of figures I have paid (thus believe I am owed out of the property) and state that I cant remortgage so I suggest we wait until there is an upturn in the market sufficient enough to allow us both to take the equity/or for me to be able to get a loan against hte equity to "buy her out" ?

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

Thanks all again for advice, I have put a response together and am going to post this Monday, let me have your thoughts and or advice:

Dear
I am in receipt of your letter dated 8^th September 2015 and also a letter from a solicitor dated 22^nd July 2015 who claims to be representing you.
In response to your letter dates 22^nd July 2015:
In the letter your representative has pointed out that you would like to have your name removed from the mortgage and I would point out that I would also favour this.
Any arrangements I have tried to make on the same have been hampered by a credit file which has made it impossible for me to re-mortgage the property in my own name. I am working hard to remedy this and get my credit into a position where I am able to facilitate a re-mortgage and thus remove your name from the mortgage and deeds. I would refute and reject your claims that no attempts have been made re-mortgage as I have made a number of unsuccessful attempts to do so through the bank which are all recorded on file.
I would point out that we are both jointly responsible for the mortgage and all mortgage payments on both the capital and interest for the entire duration until it is repaid in full and not just whilst living in the property. I have (since you vacated) made payments on a shortfall accrued whilst we co-habited (which resulted in arrears) and made good on the account so it is up to date. I have also made payments on the mortgage for the past 4.75 years at a rate of £650.00 per month totalling c£37,050. You are responsible for 50% of these payments and I would apply to the court to offset these against any claim made by you.
Any application you make to the Trust of Land and Appointment of Trustee’s Act to force a sale will result in a judge considering all the facts about the case and not just your desire to have your name removed from a credit agreement we both agreed to in good faith. On this basis and because of the points I have made above I believe any application would be doomed to failure.
Any claim for legal costs would be refuted. I have, as outlined above, made every attempt to remedy the situation to the best of my ability and have continued/will continue to make considerable payments to ensure the debt is serviced.
In response to your letter dates 8^th September 2015:
1. Your suggestion that the property is sold – I refute. The property is in negative equity and I am not prepared to write off the substantial amount of payments I have made towards servicing the mortgage in the interim period to be left with further debt which a sale of the property in negative equity would yield.
2. Your suggestions that I buy out your share – I would be willing to consider this option and propose that you have the property professionally valued and circulate the written valuation. I would point out that I would look to recover the proportion of the mortgage payments you should have paid in the interim period from any equity from the sale before distribution. Please note that this avenue would not result in the removal of your name from the mortgage until such time as I am in a position to be able to re-mortgage.
3. Your suggestion that you will issue court proceedings – I refute this. Again (as per the above) I have made every effort to remedy the situation and continue to do so by keeping up payments on the mortgage and other loan secured on the property in both of our names for which you are jointly liable.
I would propose that in order to remedy the situation we agree that I will continue to service the mortgage until such point that I am able to re-mortgage and that at this juncture I will have your name removed from the mortgage. I would also propose that we agree to settle any equity/buy out amount and recovery of the mortgage payments on an equal 50:50 split at this point, by which time the house will hopefully be out of negative equity.
Yours Sincerely

[MissFM]

Re: Joint Mortgage on Property following seperation from partner

Good letter, Leon. It makes all your points in a very reasonable manner, IMO.

One little tiny suggested twiddle:

3. Your suggestion that you will issue court proceedings – I refute that this could have any merit.

Good luck x

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

Good letter, Leon. It makes all your points in a very reasonable manner, IMO.

One little tiny suggested twiddle:



Good luck x

Thanks for the feedback - and good luck message - appreciate them both.

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

Posted the letter Special Delivery on Monday - waiting for response now ! wish me luck !!

[leonmc0708]

Re: Joint Mortgage on Property following seperation from partner

Just an update on this, and quick question.

ITem was signed for Special Delivery Royal Mail on 8th October and now, coming up to 3 weeks since I have heard nothing back.

Would/could/should I resend or prompt them for a reply do we think ?