Complicated - Buying back a house when were bought out

[Shannith]

This is a bit complicated. I'll try and keep it simple.

DP (never married) and I bought a house together as tenants in common in 2012. Largely cash buyers with a small mortgage- which we set up to pay off in 10 years.

We separated in 2017, had the house revalued and he bought me out at 50% of the valuation.

It was not particularly amicable. However we have a 14 YO DC and for their sake remained on friendly terms.

Roll on how and he has had an offer accepted on a new house that he's buying outright.

He has offered to find a way for me to by back the house - only paying the increase in equity between now and 2017 (about £250k)

My question is well

How do I do this? Do I get a mortgage? I'm not sure I can as I was a SAHM after we spilt until the last 6 months when I've started work again as a freelancer. I don't have that much (£250k)cash in the bank.

My salary is c£120k

We are on good terms and he sees this as part of his responsibility towards me as the mother of his child (we have 50/50 custody).

I think it's a very nice gesture on his part and I'm very pleased.

But I do know I need to protect myself legally if we went down a kind of payment plan route.

This is very much out of my sphere of knowledge and I don't really know where to start.

I know I need a lawyer
What type?
Property? I genuinely don't know

Hence asking!

A standard conveyancing so,icitor should be fine.

In a time where banks are issuing loans in multiples of income to the size of seven times or more, a multiple of two and a bit should be fine.

I'd see a whole-market mortgage broker to see what your options are. You can also use online mortgage calculators to give an idea of what you could borrow without needing to go through a full credit check (which you don't want to do too often).

I think they will want more than 6 months of books to give you a mortgage as a freelancer.
Is that 120k a serious number? In which case how much can you save? If your earnings have increased that massively, you'd be looking at saving a serious chunk each month if you carry on living on your previous SAHM income.

Are you self employed that might make it trickier as usually they need two years accounts for self employment.

So there's a few things to consider

• it sounds like a good deal for you and it's a straightforward property transaction that any conveyancer can deal with. The fact you used to own it is neither here nor there, as presumably it was all transferred to him at the time and you are now buying it from him
• you need to see a mortgage broker to determine whether you can get a mortgage for the amount needed. Depending on the loan to value you may be able to get it despite not having history of self employment. But only a specialist can advise.
• bear in mind SDLT will be due on the value of the property not the purchase price if it's heavily discounted so just make sure you consider all those aspects

We found Halifax were best for self employed people but they still needed a year of accounts and that was some time ago.

I agree with pp you need a decent mortgage broker who can explore if a mortgage is even possible but with that income to loan ratio you could be a good prospect so worth a try.

Otherwise would your oh be willing to take a delayed payment? If it's perfectly amicable you would need to be wary, get the deal signed off legally and finish paying off asap.

Thank you all that's really helpful and I feel I know where to start.

And yes £120k is a real number. I have quite niche skills at board level. I'm salaried for so some as an NED and the rest is me consulting.

I was a high earner pre DC and am very lucky that my niche skills are still needed.

And yes I can save a fair bit. I have to bear in mind that is a more expensive house to run.