Protection on buying a house with a partner

[sskkss]

Hello everyone,

I’m hoping to get some thoughts and advice on a situation I’m currently navigating.

My partner has suggested we buy a house together since neither of our current home isn’t really working for us (especially for him). The tricky part is that I can’t sell my house due to my child’s school admission—it’s within the catchment area, and house prices here for something bigger would be quite a bit more.

I’d also like to keep my house long-term for a few reasons: I might want to move back for any reason, or eventually pass it on to my child when he's older. I’m still weighing my options on whether to sell it in the future.

My partner plans to sell his house and contribute equally to a new one in his area which is in a different county(but only les than half an hour far from where I live so me and my child can easily commute). This would mean I would effectively own two houses, which brings up concerns about stamp duty and inheritance. My thought is that he could buy the new house in his name solely, and I could lend him half of the cost, putting a charge on his deed to protect my investment.

We’re not married, and I have a child while he doesn’t. In terms of inheritance, his estate would go to his niece(currently unless he changes in the future), while my child would inherit my assets if anything were to happen to me.

So, I’m wondering if this is a sound idea? What should I be considering, and do you have any suggestions? I’d really appreciate any insights you might have!

Thank you so much! 😊

Would he be buying the new house outright or need a mortgage? If he needs a mortgage they won’t accept you adding a charge - you’d have to sign something to say the gift is not a loan.

He won’t require a mortgage. I’m just wondering if I might have overlooked something.

Your house only works for admissions if you are actually living in it at the time applications close and places are awarded. So this is a big consideration.

@sskkss If you live with him in the new house, your existing house is irrelevant for school admission. You need to stay in catchment. Why won’t he buy with you in your area? Your child should matter to him. One house and make sure the money put in by both parties is protected. Or, what’s wrong with the schools near him? Is that a problem? Could you move? Or would that upset dc? You would also pay CGT when you sell the house that’s not your main home. You can write wills regarding who you leave your share to but the gain would be taxed when you sell before IHT kicks in.

Will you not get married to protect your investments etc? I wouldn't buy a house with someone until then personally. Just seems too risky when there's also a child involved. Stay where you are if you're happy there and let him make his own choice until you're both ready for the commitment and at that stage move him in knowing your assets are properly protected. That would be my approach anyway.