joint mortgage issue?

Question

My partner and I have separated last month we both have a joint mortgage but he is refusing to pay his half as he says he doesnt live there now but I cannot afford the full mortgage on my only wage I also have a son took look after can the mortgage company chase him for his half or not? I have not contacted the company yet as I have mixed reactions from friends they said that the company is not bothered if you have parted or not all they are bothered in is recieving the monthly amount so I am a little reluctant to call them!

I dont want to sell my home though

Answer 1

You might remind your partner that he or she has a legal obligation to deal with and that BOTH of your credit ratings are at risk if the property goes into foreclosure.

You need to contact the mortgage company ASAP. The worst possible thing that you can do is do nothing.

Put the property on the market and pray for a quick sale.

Addendum: Well, you don't have a lot of choice now do you? You can't afford the payments yourself and it's going to be time-consuming and expensive to force the co-owner to pay up. If the mortgage is not paid, it will be foreclosed upon and you'll lose your home. We don't always get what we want. It's your choice -- sell out and move, or lose it to foreclosure. I know which way I would go.

Answer 2

He is still responsible for the payments, however he is also still entitled to half the equity on the house. This means that if you wanted to live there, you would have to buy his half, e.g. if your house is worth 200K and you have a mortgage of 150K, your total equity is 50K and you'd have to pay him 25K to take sole ownership of the house (you'd also be responsible for paying the mortgage on your own after this point)

Seeing as you can't afford the full mortgage on your wage I'd suggest that you have no option but to sell the house. When you do this, the equity will be split between you. He would owe you some money depending on how long he fails to contribute for, and this would be taken into account when you split the profits from the house sale (or paid him for his half of the equity). Your solicitor and his solicitor whould be able to advise and help you come to an agreement over the sum owed to you. However if you can't agree a financial settlement then you'd have to go to court, which is very expensive (5K and upwards), and even if you win it is often not worth it financially unless huge sums of money are involved.

In the meantime speak to your lender, they are usually understanding and you may be able to take a payment holiday, or switch your mortgage to interest only until the house is sold.

Answer 3

Yes, your ex partner is equally responsible for the mortgage even if not living there. What is not understood here is that both parties are 100% liable for the payment. You are correct, the mortgage company doesn't care about the domestic situation, they just want what they were promised.

Explain to your partner that this is still a joint responsibility. Perhaps doing so at a meeting with a lawyer who can drive the point home.

Answer 4

You are both responsible for the full mortgage amount.

So your options are to try to sell the property to get out from under it or try to rent out a room or something to someone else to try to come up with the money. Or get forclosed on and ruin your credit (be careful, because that can also hurt your ability to move into rental property and get a new job).

However, I would docuement what your partner paid when so that you get most the money when you sell (that'll be a huge pain, because he can try to get more money than is his then -- or refuse to pay for his part of the loss or try to keep you from selling and force you to go to court to be able to sell...or only let you sell "your half"). You're in a rough spot.

But it doesn't hurt to call them and explain the situation and see if they can help you for awhile some how (like reduce payment until you find someone to rent a room and let you pay back the reduced amount later).

Answer 5

keep all your records..........
you will have to come up with the payments or you will end up in foreclosure..
there is a form you can get that "removes" you "partner" without having your mortgage go into a "new term"..
you may be able to do this yourself if your partner is willing..
(they will want there payout and want some $$$ waved at them)
now saying all this.......you can not afford..this???the mortgage payments or a payout???
you want to keep the home???
you have to "pay " this person to sign the form to release that person from the mortgage without an early closing on the mortgage which will result in your reapplying...and closing the old mortgage with all the payouts for "early closing"..
(hope this is all making sense)
now this all being said..the interest rates are lower..and if you do close the old mortgage and reapply ..,would you qualify?
with the new rates and a longer term????

you have options.............but your going to have to get some cash.........it is going to cost..
i keep telling people to fill out a "prenupt" (the are online at www.lawdepot.com)....and then property can clearly be..dealt with later...........
this can be a real mess.........but if you can realize..this partner but into that "finance" as well and has rights..
cough up some cash or sell the house.......
you entered that relationship with your child.........and you should have been responsible..and had "prenupt" done..
this other person put in and invested as well...
cough up some $$$
if the other person will sign with some $$$ you can do the transfer without "requalifying" but "requalifying" may have some perks..but you will have to pay out all the early termination..agreements in the existing mortgage..
good luck

Answer 6

Get a lawyer. He entered into an agreement with you in good faith to pay off this mortgage. Now he has abandoned you.

Or...

Take on a renter.

Or...

Call a real estate agent. You don't have many other choices.