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Divorce/separation

Here you'll find divorce help and support from other Mners. For legal advice, you may find Advice Now guides useful.

Original poster

Splitting the house after separation

19 replies

sweetcupcake78 · 21/02/2019 14:39

We currently own our house outright. It is worth around £450,000 and we purchased it for around 305,000 4 years ago. I am trying understand the financial implications of separation and want to know how we could go about financing the split. a 2 bedroom house nearby is for sale for £215,000 would i be right in thinking we could use the equity from our current house to finance the second property, or is that a really bad idea? I believe husband would want to keep the current house.

I want to be really sure about financial things as he isn't a bad person, we have just grown apart etc.

OP posts:
NotSuchASmugMarriedNow1 · 21/02/2019 15:44

He could give you half the value of the house and you could purchase the other property you

What other assets are there

Original poster
sweetcupcake78 · 21/02/2019 15:59

I'm being dim here, but my point is, how does he physically give me half of the house? Is it by taking the equity from the property or what? Other assets would be belongings in the house, the car is leased so no asset there. We have one son of almost 17 if that makes a difference too. I'm just not wanting to fleece him and try and take anything more than is fair.

OP posts:
crazygolfgonewrong · 21/02/2019 16:03

What about pensions? That's usually the other big pot. Does one of you substantially out earn the other? If the house is truly all you're talking about it then he needs to come up with half the value. If the mortgage company will give him a mortgage for half the value (depends on his earning capacity/age etc) it can be done that way. He would release the equity and give it to you. Sadly the reality is more likely to be the house needs to be sold and you will split the proceeds.

Singlenotsingle · 21/02/2019 16:04

He remortgages to borrow the cash for you to buy the 2 bed. If you're splitting 50/50 you'd ask for £225k and that would be the size of his mortgage. Can he afford the repayments on £225,000?

Parky04 · 21/02/2019 16:08

If he keeps the house and you split 50/50 he will owe you £225000. He can't take it from the equity unless he sells the house. He will have to take out a mortgage for £225000.

NotSuchASmugMarriedNow1 · 21/02/2019 16:14

Your son is likely to be 18 by the time it all goes through and won't be taken into account financially on the basis that both parents could house him and he can choose himself where he wants to live.

Original poster
sweetcupcake78 · 21/02/2019 20:40

Thanks for the response. Yes he does out earn me quite considerably, like double my salary and in part that’s due to on call allowances. He does have a large pension which he can start to draw on in around 7 years, I suppose in my mind I hoped the outcome would be to come away with enough to get a property that I was happy with and leave his pension with him as it’s me initiating the split, feels horrid to be taking too much.

OP posts:
Original poster
sweetcupcake78 · 21/02/2019 20:41

I guess he probably could, but wouldn’t really leave a great deal for him to live on and I’d just feel so bad about that. ☹️

OP posts:
RandomMess · 21/02/2019 20:46

Him wanting to stay in the family house and home being able to afford it are two different things...

Selling it is the obvious solution.

MissedTheBoatAgain · 22/02/2019 05:24

To OP

If your Ex wants to stay in the house he must buy you out. If he can't afford the resulting mortgage then the house will have to be sold.

Maybe he could secure a mortgage against his pension?

Decormad38 · 22/02/2019 05:27

The readon you have not got as big a pension is probably because you were raising the kids so you should have a cut of his big pension. Don’t be a walk over op!

MissedTheBoatAgain · 22/02/2019 05:32

The reason you have not got as big a pension is probably because you were raising the kids so you should have a cut of his big pension

Or more than 50% of the value of the house as compensation.

Original poster
sweetcupcake78 · 22/02/2019 14:17

I know what you’re saying is right and what I’m entitled to, I should take. But I suppose I’m feeling a lot of guilt, because it’s me who wants to end it and he has always worked so hard to provide things for us and a nice lifestyle etc, so I feel very bad for potentially making him work harder still to finance buying me out etc. Ugh such a mess ☹️

OP posts:
RandomMess · 22/02/2019 14:23

Don't let guilt influence a decision that will impact you and could mean you live in poverty.

It is pretty usual to downsize for your retirement!

lovemistymornings · 23/02/2019 00:16

Generally the starting point is that you share 50/50 of all assets - that includes his pension. So you're entitled to half the value of the house, plus 50% share of his pension too. Yes, it's not great when you're the one leaving, but divorce is technically a no-guilt thing. Have you thought about where you are going to live, what you are going to buy? You might find it tricky getting a sizeable mortgage by yourself, so you are going to need your half share of the equity.

moviesgirl · 25/02/2019 08:03

You have to take into account any mortgage you may have on the house. For example, if your mortgage is say £290,000 then you have 450k - 290k = 160k if you were to actually sell the house you'd also have fees to pay and you might not even get 450k

Stabbitha · 04/03/2019 15:48

The house is owned outright, it's the very first line in the OP.

trendingorange · 08/03/2019 13:25

Would you feel guilty and not take away from the marriage your fair share if your dh re-married within a year, or moved another woman into your family home as soon as you moved out? Or you later discovered he had been having affairs the whole time you were married.
Guilt and financial security are two different things.
You could easily end up in poverty at some point if you don't take your fair share.

trendingorange · 08/03/2019 13:26

If nothing else you could give the 'extra' money to your son to help with university or a deposit for his first home.

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