House/joint ownership stuff..!

[MsWilliamTheBloody]

Get me, posting in Legal matters. I feel so grown up!!



I'm buying a house with DP.

Due to me having crap credit DP is getting the mortgage out in just his name and I'm putting an inheritance towards the property.

Is pretty much 50/50. Inheritance is 85K and his mortgage is for 89K.

Today I got a letter from our solicitor asking me to sign papers stating I have no claim on the property and that I postpone any rights I have in favour of the lender.

Obviously I can't sign this.

I've read about 'joint beneficiary' purchases. Can we do this? Can we do this even though DP will have a mortgage?

I don't want to be in a situation where I could potentially lose my inheritance (not that I think it would happen), I want to be all snug and secure.

Is there any way around this??

Thanks!

[digerd]

I do not understand why your solicitor has asked you to do this. You should ask him/her for the reason.
Also, I think you mean "Joint Tenants" not joint beneficiaries?

[Spickle]

I bought a house as "tenants in common" with my DP recently. That basically means we both own the property in unequal shares.

He has the mortgage, I put in the equity. Both our names are on the deeds and we had a Declaration of Trust drawn up by our solicitor on completion, stating which percentage of the property each of us own should our relationship break down etc. which, hopefully, won't happen!

However, I think the mortgage company may expect me to pay the mortgage should DP default on the payments as I am a joint owner, though more knowledgeable posters may clarify this.

[MsWilliamTheBloody]

Yes, 'joint tennents' or 'tennents in common'.

That's what want to do.

However, DP has the mortgage in place so will I still be allowed to be a 'tennent in common' or do we have to start the entire mortgage process again?

Or can the solicitor just draw something up??

[titchy]

If you are not on the mortgage you can NOT be on the deeds, hence the mortgage co and your solicitor comments. You will not legally own the house so joint tenants or tenants in common irrelevant. Get yourself on the mortgage and hence deeds.

[prh47bridge]

The letter you are being asked to sign is standard. It ensures the lender can repossess the house if you and your partner fail to pay the mortgage. If you don't sign it they won't lend the money. You need a separate Declaration of Trust to protect your position if you and your partner separate.

[Rangirl]

The form is standard and the Bank won't give your DP the money without it so unless you sign the house can't be bought. Separately you need advice on how to protect your position/money. You probably need to take independent legal advice on this point As things stand the solicitor is acting for your DP and the Bank ,and not for you.you have a separate interest and you need advice Please do not go ahead without it,regardless of how much hassle and extra expense it causes as if anything goes wrong, and you could lose your money