Mortgage deposits

[Givemeanidea878]

Just after some advice about what legally would be best to do in this situation

-person A and B are getting a joint mortgage and paying equal amounts monthly

• person A is fronting the full cost of the deposit ,let’s say 30k
• 6 months down the line person B is expected to receive 15k from a relative, once received person B will give person A the 15k (as pay back for the deposit originally paid )

Is it advisable to get this drawn up at each stage legally ? Person A currently says they trust that person B will pay their half when the time comes and contracts shouldn’t need to be drawn

Will person B be protected if years down the line they split up

It’s worrying that they are buying a house and they don’t trust each other with this.

If the money is paid and they own the house jointly they will leave with 50/50 anyway. If they get married and have children though it will be based on needs and it won’t matter what money was put upfront. Without knowing what your position is it’s difficult to advise properly as there’s so many scenarios

Don’t buy the house?

@OneEpisode why not ? Surely people think of worse case scenarios even when in loving trusting relationships ... I see so many people on mumsnet who trusted “DH” but still get cheated on

I would get a deed drawn up reflecting that A put in £30K and had the claim over the first £30k upon sale of the property until such time as B had repaid £15K to A. Upon payment of the £15k A should provide B with a receipt to evidence such payment reflecting that this was in settlement of the £15k due under the deed dated [date].

I would hold the property as tenants in common rather than joint tenants.

You can buy a property as tenants in common in equal or unequal shares. That’s fine. The A paying all and B owing A thing rang alarm bells.

Getting a deed drawn up is a good idea. But keep in mind it’s not always considered in court if you marry and then divorce especially if it’s a long marriage. They are more suitable for unmarried couples.

Thanks for advice so far , I am B in this situation so I am in the less risky position I suppose (until I pay my half )

My parents never bought a home so I have nobody to ask in terms of the deposit legalities , will they (the bank) just presume the deposit has come from both of us unless we specifically advise other wise ?

My worry is he pays the deposit from his account then I pay my half next year then worst case scenario we split and he says well I paid the deposit and I have no proof that the 15k i handed over was pay back for the deposit (hope that makes sense )

Me and my DP paid different amounts to the deposit and we had a deed done by sols to say if anything happens etc I get X back and he gets Y back.
Just a safety net for you both.

In these circumstances I would think trust was sufficient. Buy as tenants in common though

I can see your worry with that but you could do a bank transfer and make sure the reference says it’s your share of the deposit. You can always show the statement if it was ever needed. Don’t give him it as cash.

If there is a trust issue I’d be asking if buying a house together is the right thing to do. To be properly protected it would be better to seek legal advice and have a deed drawn up.

Id get a solicitor to write this up with the deeds of the house. I think its a trust. I wouldn't trust anyone when it comes to money, get it all legal then forget about it.