Property, joint mortgage and separation

[Twiglet15]

Hi there,

Complicated situation really so just after some advice, and all hypothetical.Sorry if it's a bit confused.

To be clear, I'm not trying to hide any assets, UC and Social Services are fully aware of my interest/equity in the family property, I'm just looking at options which may make life logistically easier!

My husband and I separated last year. We have a 4 year old. We haven't yet started the divorce process yet, we're on fairly good terms but unlikely we will get back together but taking time to make decisions as lots of complicated things to consider (my health being main factor for the split).

My husband has remained in the family home (I needed to move as our house wasn't accessible for me any more).

We share custody of our child 50-50 and have a joint mortgage on the family home. My husband is currently paying the full mortgage, although I paid more in previous years/most of the deposit so much of a muchness in terms of financial input. His earnings cover the monthly payments comfortably.

I am renting privately. I'm no longer able to work so
my income is from Universal Credit and PIP. For Universal Credit and Social Services assessment purposes our family home is disregarded as an asset because it's my son's home.

I've had to move further away from the family home than I wanted to due to my accessibility needs. I can't drive and need quite a lot of care myself and do need some assistance to be able to look after my child myself. The distance will make school pick-ups and access to my child more difficult when they start school in September.

Re property-
Is there a way that if we sold the existing family home and my estranged husband and child moved to a new property nearby my flat, that I could keep my money in that home (I don't think he couldn't afford to buy alone without my capital and I wouldn't want to take the stability of the home from my child). Could we potentially port the mortgage to a new property closer to me? I know there's all kinds of arrangements for either party staying in homes bought together previously but not sure on this situation at all.

It wouldn't change our finances especially, it is literally for practicalities of access- so my child could go to a school closer to me to allow me to do school pick ups, have more overnights during the week and facilitate generally easier contact.

Any advice very much appreciated

Legally you are still married so everything you own is joint until you finalise financial arrangements - which can often be 50/50 but isn't always. When financial arrangements get approved in court, the court will look for the fairest possible way for you all to move on with your lives. You may have more significant needs due to health issues and require more than 50%, for example. Resident parent (whoever has the child most of the time) can get more than 50% too.

For now, as you're still legally married, you can sell your family home and buy a house in a different location in joint names, and it will continue to be your joint property, whether you live there or not. However if your ex starts to believe that the house is his, then it will take time and effort to see any money from it in the future so I'd be cautious.

I don't know much about Universal Credit so I don't know if it's standard to not consider your family home as an asset for these purposes.

If your relationship is truly over your best bet is to formalise everything. Financial arrangements, child arrangements, divorce. It costs money but allows all parties to start again and move on.