A friend's mortgage woes...
Discussion
I was relayed this little gem last night...
A friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a b
h...)
A friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a b
h...)Well, your mate has the rather large advantage that he will be able to show payments of £700 a month to her - hopefully by cheque or DD and not cash.
But as above, if they are tenants in common they are jointly and severally liable for the mortgage. However he might be able to claim a larger portion of any equity in the property in light of his larger payments.
But as above, if they are tenants in common they are jointly and severally liable for the mortgage. However he might be able to claim a larger portion of any equity in the property in light of his larger payments.
Surely, both their names will be on the mortgage and therefore they will both be liable for the mortgage payments. Simple as that.
As far as revenge, I don't see any opportunity for that within the mortgage scenario. To be honest, he was a bit silly to continue paying the vast majority of the payments while not even living there.
As far as revenge, I don't see any opportunity for that within the mortgage scenario. To be honest, he was a bit silly to continue paying the vast majority of the payments while not even living there.
swerni said:
It's in joint names so they are jointly liable.
If they have been paying rent then they'll have no trouble proving it will they
My first thoughts. If they have been paying rent then they'll have no trouble proving it will they
For arguments sake say the new couple said that they never signed any tenancy agreements and paid in cash. Is that taken as it never happened or that my mate has failed in his role as a landlord?
So the onus isn't on my mate to prove he isn't renting but quite the opposite. That'll brighten his weekend.
There is little equity in the property and no children involved.
He is a tool. This was reiterated to him repeatedly after we found out the full extent of what was going on...
There is little equity in the property and no children involved.
He is a tool. This was reiterated to him repeatedly after we found out the full extent of what was going on...
f13ldy said:
So the onus isn't on my mate to prove he isn't renting but quite the opposite. That'll brighten his weekend.
There is little equity in the property and no children involved.
He is a tool. This was reiterated to him repeatedly after we found out the full extent of what was going on...
But still - Worse case scenario he can agree that his ex was renting then throw her out, sell the place, pocket the little equity himself and she's left with no house and no equity?There is little equity in the property and no children involved.
He is a tool. This was reiterated to him repeatedly after we found out the full extent of what was going on...
f13ldy said:
I was relayed this little gem last night...
A friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a bh...)
If they still have a joint mortgage they are equally fA friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a b
h...)ked. It doesn't say that she has tried to buy him out so I assume they still have the original mortgage.They will now have 3-4 months of arrears on their credit file.
I hope your mate is not thinking about arranging a new mortgage anytime soon.
If its any consolation to your mate, his ex is as f
ked as he is. Stupid man.
scotal said:
f13ldy said:
I was relayed this little gem last night...
A friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a bh...)
If they still have a joint mortgage they are equally fA friend of mine split with his partner (unmarried) last year (around March). He moved out of their home where they had a joint mortgage and continued contributing until around January this year when she moved a new partner in.
Up until this point he had been paying around £700 per month (on a £130,000 mortgage, so I'm assuming a majority of it). However, once he had stopped paying, his ex-partner also decided she didn't want to pay and so people came knocking asking for their money and quite rightly so.
So Wednesday was a meeting between him, ex-partner & new boyfriend plus a guy from a company instructed by the lender. This was to determine why they hadn't been paying and what they planned to do about it. At this point the new boyfriend blurts out that they have been renting the place from my mate and it isn't their problem that the mortgage hasn't been paid.
In a nutshell. What are his realistic next steps to prove this isn't so?
(plus he'd like to stitch her up for being such a b
h...)ked. It doesn't say that she has tried to buy him out so I assume they still have the original mortgage.They will now have 3-4 months of arrears on their credit file.
I hope your mate is not thinking about arranging a new mortgage anytime soon.
If its any consolation to your mate, his ex is as f
ked as he is. Stupid man.
I would imagine the bank will foreclose fairly quickly as there is equity left in the property so they can get their money back relatively quickly. Normally properties that get foreclosed on have negative equity so banks are generally happy to be accomodative in the hope they will get all their money back in the future, in this case I wouldn't be surprised if they are quite aggressive. Might not be your mates worst nightmare as he may get some of the equity back but he could end up with a st credit history,
If I was him I would approach Citizens Advice Bureau or one of the Debt Advice Lines and see what they think the bank will do. The bank might even be able to get the arrears owed out of the equity in which case he might get away with an okay credit history. That might work out okay...his ex end up homeless and he may even end up with some cash in his hands.
t credit history, If I was him I would approach Citizens Advice Bureau or one of the Debt Advice Lines and see what they think the bank will do. The bank might even be able to get the arrears owed out of the equity in which case he might get away with an okay credit history. That might work out okay...his ex end up homeless and he may even end up with some cash in his hands.
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