Joint Tenants vs Tenants in Common and Declaration of Trust - help please!

[Onemansoapopera]

Hello,

I've had a brief telephone conversation with my friend who's a solicitor about this but just looking for some further clarification if anyone can help :-)

Situation is this:

I own my property outright - there is no mortgage and the deeds are solely in my name.
I married last year though we both still live in separate properties for work reasons (locations)
I realise that being married automatically gives DH rights to my property however we would like to somewhat make it official - he effectively wants to 'pay in' to the value of my house and pay a monthly sum (equivalent to a mortgage) towards my house until we buy together at which point we will use my house as deposit and he will pay any mortgage. He rents at present and does not own any property.

We would like some documentation outlining his interest in the house. I have one 16 year old daughter, he was no children - I've been told that Tenants in Common is the way to but is that necessary (have no problem if it is) or is a declaration of trust outlining his financial contribution to the house enough? He originally wanted to get a mortgage for half the house to effectively 'buy his half' off me and give me the money but the financial adviser said this would involve gifting my(/our)property to his parents for tax reasons and then them gifting it to him...she lost me at that point!

If it's relevant the house is valued at around £150k and he wants to give me £7k lump sum and then monthly amount.

Can anyone help me see this clearly please? Thanks!! :-)

A declaration of trust automatically makes you tenants in common subject to the declaration but you have to record this when you tranfer the property and equity from sole to joint owners.

Just by marrying you doesn't mean he has an interest on your house. he doesn't.

Why are you doing all of this? Are there worries about creditors? Concern about what would happen on divorce?

If the latter you need a post nuptial agreement.

If there are no concerns either way, don't bother doing anything that makes no practical or legal difference.

Only doing it because he wants to contribute, basically to what will effectively form the deposit for our next and hopefully forever home and I want to have that recognised also

How did his parents get into this when you haven't mentioned them - are they gifting him the deposit or something?!

Nope. We were looking at buying a new build and putting my house down as part exchange with him getting a mortgage for the remainder. It was the financial advisor who advised that my house would need to be gifted through his parents so they could then gift it to him...so he could then effectively get the mortgage just in his name. Don't ask me I'm sit at all this stuff. When the financial advisor told me this it just confused the hell out of me. That aside we're not getting the new build now, but he still wants to pay into my house if that makes sense.

Would you not rather leave your house to your daughter?

Yes if I die first I'd want my daughter to have my 'share', but not be in a position to make DH leave the home - which leads me back to the question....which is better?

Should point out, absolutely do not foresee anything bad happening, we are all very happy together - exactly the right time to have this conversation I think 😊

Quit fooling around and go see a lawyer rather than seek legal advice on MN!! It's too important for your and your daughter's futures not to do so

Quit fooling around and go see a lawyer rather than seek legal advice on MN!! It's too important for your and your daughter's futures not to do so

This, a million times. The proposal in your OP sounds suspicious and I'd steer well clear.

Don’t do that!!! Ringfence your property for you and your DD. Please make sure he has no right over your and your DD’s home. What you’re suggesting is just madness!!!!!

I understand you want a home/future with this man. What I would do is buy together a new place for both of you, you both get a mortgage and you’re tennants in common.
Under no circumstance lose your home, for no man, ever. And if you don’t particularly care, think of your DD.

I really don't understand why your partner wants to buy into your asset, especially since your planning on buying a house jointly. Why doesn't he just put the monthly sum in a separate savings account? Has he already sold a property? Does he have savings?
Actually I do understand why someone would want to buy into your current house and it ain't pretty.
Please, please take legal advice. You are about to get screwed over.

Oh - and seeing as he doesn't live with you and you've only been married a year, it's unlikely a court would support his claim to your residence.

Managed to miss the very important point that only he will be on the mortgage. The likelihood is if only he is on the mortgage, only he will be the registered owner of the property....lenders are not keen at all on owners who are not also party to the mortgage. Make sure you get advice as soon as possible.

Couple of things.

Daughter will be independently wealthy, she inherits around £500k at 25, trust fund from my divorce and another £500k at 30 - please don't worry about her. She will be fine and she will absolutely inherit our home too when we're both done with it.

Don't be too quick to judge me. This isn't my only property and I'm not naive. Not everything has to be negative. DH and I and DD are a very happy unit.

We have an appt with my solicitor next week, just wanted some views from others experience, that's all 😊 as far as I can see, nobody yet has been in this position, but I appreciate the input.

With regards to both getting mortgage, I'm self employed so would struggle and again, all the deposit would be mind effectively if we brought a house together, hence why tenants in common was suggested, to ring fence my interest.

Then I'll stop worrying about you.