FDR Hearing between my partner & his soon to be ex went ahead yesterday. We are self repping & x2b has publicly funded solicitor.
Despite several requests for paperwork to be exchanged her solicitor left it until the day and then bombard my partner with house valuations, asked if he agreed the valuation & then bombarded him with their proposal which was:-
The FMH (Valued at £215000) be transferred into wifes name.
The FMH mortgage of £64000 is changed to interest only (JOINT)
My partner pays child maintenance for the children (ages 16, 13 & 9)
My partner pays spousal maintenance at undecided amount.
His x2b's solicitor explained that he will NOT be released from the mortgage, he's the main wage earner so the mortgage company will chase him should payments not be met! (This also means his earnings will remain tied to the FMH for the next 9+ years so he is unable to raise a mortgage for a home of his own).
She also said that the spousal maintenance would be a small amount but it's an insurance policy for the x2b incase she's unable to work (she works part-time) & meet her bills in the future.
The judge has recommended that this proposal is accepted & has told my partner that as he does not earn enough salary to cover two mortgages the priority will be for the children & the parent with care. (so basically my partners future is totally unimportant)
We have adjourned pending us obtaining legal advice. I've so many questions though and if anyone can help answer them I'd be very grateful!!
1) Why does house get signed over when my partner HAS to stay attached to the mortgage? Why not transfer ownership at the end (when youngest child 18)?
2) If it HAS to be signed over into x2b's sole name what (if any) protection does my partner have against her taking out finance secured on the property in the future... would this affect his equity payment when the house is finally sold?
3) What about life assurance on for the mortgage - would this be x2b's responsibility?
4) If she is sole owner is it her responsibility to maintain the property and ensure adequate buildings insurance?
5) If she decides she wants to move house what happens?!
6) What is the likely outcome for solicitor/court costs as we are self representing?
Any further hints, tips, advice gratefully received!
Thanks for that Fiona, I think I understand a little bit more now. We were both quite confused after the hearing & I couldn't workout why he would need to sign over the property but still be financially liable for the mortgage - from what you've explained this actually protects him from futher costs in future?!
There seems to be so many loop holes & loose ends, we just want to protect what little we have left!
After looking at the proposal my partners soon 2bx has put forward & having had time to realise how much that will impact on our lives for the next 9 years I've come up with the following proposal:-
Rather than my partner pay CSA calculation for child maintenance (approx £300 per month) he agrees to pay 100% of monthly mortgage costs (which is what we've done for the last 4 years).
He remain joint owner on property & joint mortgage holder (his x2b will not take mortgage over anyway so he's been told he will not be released regardless!).
Mortgage is changed from repayment to interest only (which is proposal put forward by x2b) but my partner takes additional borrowing equivalent to 50% of his share of the equity now. When the youngest child is 18 he receives the remaining share of his equity.
I can't see any downfalls with this proposal for either party...
It still means that x2b lives in the house mortgage free & it means that she has a smaller sum to find once the youngest is 18 (so kind of doing her a favour!)
It means my partner has at least something to put towards a house of our own as he will not be able to use his salary to raise a second mortgage (as he is tied to FMH).
Can anyone see any pitfalls? Or can anyone put forward a better suggestion!!!
Unfortunately there is a major pitfall which is that your partner's ex can't sign away her right to CSA maintenance for the children. You could trust her not to claim and she might stick to this, but if she falls on hard times and has to claim benefits the benefits people will insist that she puts in a CSA claim and your partner will have to pay it. So I wouldn't take the risk, myself, and, even if you did, I don't think a judge would allow it.