Tenancy agreement or cohabitation agreement?

[rainydays1234]

Hi there, would any of you be able to let me know your thoughts on whether I get a tenancy agreement or a cohabitation agreement with my partner?

He has recently moved into my house with his children ( I know I should have done this beforehand!!)

My parents believe I should have a tenancy agreement, I recently heard about cohabitation agreements and wondered if that was more appropriate?

He pays me rent and I have no wish to share ownership of my house at any point.

I imagine the downside of a tenancy agreement is that it has an end date and would have to be renegotiated each year for example.
But it would also mean I had an opportunity to put rent up for example?

I just wondered what you'd recommend?

Depends what you want to achieve. A cohabitation agreement can cover arrangements for finances, property and children. Along with your will, it can be very useful if one of you dies or gets seriously ill, or you split up.

You can't have either with a partner. If he wasn't a partner, it couldn't be a tenancy agreement as you live permanently in the residence.

What is it you want to achieve here? Is it to note down what you have already discussed as to who pays for what / share of contribution to joint expenses etc? If so, then that’s something you can do relatively informally yourself and both sign it so in the event of any later dispute between you there us a record of what you both agreed.

As PP has said, you are not in a tenancy situation. Technically he is a Licensee or Lodger with no security of tenure or rights of beneficial ownership. But do you really see your relationship in this light? I’m not sure I’d want to have a landlady/lodger agreement with my life partner!

Yes I agree @VanCleefArpels it is all a very awkward situation really.

The overview is that it took me 9 years to get out of my marriage to my ex - most of that time was wrangling over the house. He evaded many court orders, actively resisted every attempt to sell the house, and eventually challenged me in court blaming me for everything and trying to get me to pay him back for mortgage payments.

He lived alone in our fmh for 9 years- while I was effectively homeless with our children.

The only solution he'd allow was us coming back to live with him.

So once everything finally ended through the courts- my parents did everything they could to buy a house for me and my children.

The house is in my name but they're understandably concerned that my partner has moved in.

My partner is great and we've been together 5 years.

But all in all it is a big worry for myself and my parents how to set things out so he will move out when asked, and also to understand he has no claim on the house. Which while in my name was paid for by my parents.

It does make it difficult for us to see this as a fair and equal partnership, as we would if we were two individuals setting out on our lives together.

The rent issue is controversial, I don't pay a mortgage so why should he pay me rent.

But I just spent £20k on full redecoration and rewiring which him and his children are benefiting from.

Im about to pay £10k for new windows. And down the line may do extension.

He has moved in with his 2 children and my parents didn't sacrifice everything to give him and his children a free house.

I'm conscious everything I'm saying might be sounding mean or like I'm stupid. But it's a reasonably complex situation where I'm trying to ensure stability with my house, and look positively to the future with my partner

Yes, you can. Cohabitation agreements can be used for partners cohabiting.

You are right that it would be a lodger agreement rather than a tenancy agreement. There is nothing to stop someone having a lodger agreement with a partner.

@rainydays1234 - As you are not married, he does not have a claim on the house unless he can show that he has paid for home improvements, or show that there was a shared intention that he would own a share and that he has relied on that to his disadvantage. He will also not have any long term right to stay in the home. Based on what you have written, I would suggest that you need a cohabitation agreement.

I don't blame you for wanting him to pay to live there. That house is a wonderful gift from your parents to you, not to him. He should want to pay, too. I wouldn't say that you're saving the rent to pay for house improvements, by the way.

It would be good if he could save regularly in case things go wrong, so that he has a buffer and can get himself somewhere to live quickly. Hopefully it won't go wrong, but it would be reassuring for you to know that if it did, he could afford to leave.

@rainydays1234 given The background I can see where you are coming from. Presumably your partner also knows the story? Is he on board with having something in writing to assuage your / your parents concerns?? If he is, then an investment in a solicitor’s time to draw up a cohabitation agreement would seem sensible. An arrangement whereby he pays into a savings account the equivalent of what he would be paying in rent / mortgage for his own place would be a sensible safety net for him and presumably not diminish his ability to contribute to household bills etc

I am in a similar situation to you and I have a cohabitation agreement with my partner. Says he pays towards bills but not home improvements so could never make a claim on the home. He was happy to sign it we both know where we stand and have lived together for 8 years

Yes, you can. Cohabitation agreements can be used for partners cohabiting
Sorry, I did provide the wrong information. What I meant to say is that they could not be considered a lodger (sharing the same bedroom etc...).

Ultimately, you both want the same thing, protect yourself so you don't end up homeless or having to share the property, so you both need to protect yourself.

How about charging him no rent and telling to put the money he would otherwise pay in savings. This money could be then be used as a deposit for him if you separate or a new home if you decide to commit/invest together.

He would have to pay rent/bills/groceries if he wasn't living with you, so why should that stop just because you don't have a mortgage? It's to cover wear and tear on the house by him and his kids. Don't diddle yourself financially.

Just because you don't have a mortgage doesn't mean he shouldn't pay any rent!

Your council tax will rise and so will all the bills. He should cover all this and you just pay for the home improvements. He should pay the lion's share of the food as well. After paying the bills he should be able to accumulate savings using the rent money he's not paying. You should both 'profit' from the home sharing.

As an aside, don't get sucked into being the main carer for his children.

One more voice to say you shouldn't feel bad about having him pay rent. So your parents helped you out with cash towards the house - great. They could as easily have given you an equivalent sum in cash to invest, with you continuing to either rent or pay down a mortgage. Would you expect your DP to participate in your investment income? And seen from the other side. He's saving money by not renting/paying his iwn mortgage. Why should he be the only one to benefit from your setup?

To add. The proposal that your DP pay into a savings account for himself what he would otherwise pay as mortgage is a bit of a crock. Depending on where you are in a mortgage, most of your payments will be interest rather than repayment of principal - in other words, they're like rent paid to your bank. Only repayment of principal actually generates equity, yet what pp propose would see him retain both. That's hardly fair. At a minimum with such a setup, the interest components of a simulated "mortgage" should go to you. Or even simpler- he pays you a sum lower than he'd have to pay in his own house. Win-win for both of you.