Buying a house with my partner. He’s putting in a bigger deposit, I’d be paying exactly half of the mortgage every month (interest + capital). He thinks that if we ever sold, we should each get our deposit back and then split any profit in proportion to what we put in initially.
I’m uncomfortable with that because the deposit is a one-off and comes back out on sale, whereas the real risk and equity building is in the mortgage, which I’d be paying equally. To me it feels wrong to pay the same for years, take the same debt risk, but come out with less.
He says his extra deposit benefits me via lower monthly payments and that he could otherwise invest it in stocks and shares but this doesn't make sense to me. Anyone could do that though. I think he's incorrectly linking the deposit to the mortgage debt.
In his version, we take out lets say a 400k mortgage. I contribute to this equally. Let's say we separate having paid off 200k. Id come out with 50 and him 150k but we'd have both paid equally.
AIBU for thinking that if we split the mortgage 50/50, any equity created by paying it down (and any increase in value) should also be split 50/50? Or that if profit is weighted, the mortgage costs should be too?