I am just at the very early stages of everything and I'm trying to figure out what might be entailed in buying my husband out of our property.
We have been married for 4 years and bought the current property 18 months ago. There isnt a great amount of equity in the house (approx £14k) and we both earn a similar amount. My calciulations tell me that I can afford to pay the mortgage/bills alone but obviously I need to buy him out, is this just a case of paying him half of the equity in the house or am I missing something?
You dont mention kids, so i assume there are none. You say u earn similar amounts. You dont mention any other reason for the split to be anything other than 50:50.
So let us assume that is what you need to achieve - a 50:50 split of assets.
Are there no other assets? (cars? furniture? savings?).
What about pensions??? If you are both working you may have pensions. If you do you really need to know the value of these.
Why?? Well suppose you discover that you have a pension worth 10K and he has one worth 26K!!
Suddenly you now have 10K + 26K + 14k(house) in assets.
So a 50:50 split is 25k each. So you keep your pension and the house - and he keeps his pension.
(This is over simplified..but the point is it is well worth your while to find out how much any pensions are worth)
OK....assuming you have nothing else...you really do only have 14k in the house.
Then yes ... if you want to stay in the house and he is OK to move on, then pay him the 7K and for goodness sake dont fight over it.
The assets you are talking about are really relatively low in value and fighting could costs you 5k each in solicitors fees. So be sensible and agree an amicable split.