My husband and I are separating the marital home. He is offering to buy me out.
After receiving valuations I feel we have a rough estimate of what the house is worth and would possibly sell for.
He has written to me with an assumed sale price less estate agent fees, conveyancing and sundries (I presume this means cost of handling the transfer of deeds/equity and anything else!).
We will then minus the remaining mortgage and divide the equity 50/50.
My question is: Should the estate agents fees be taken off the assumed sale price when there is no actual sale being undertaken? I understand that the transfer of equity and transfer of deeds costs do need to be split equally.
Look at it this way. If you sold it to a stranger then you would get £X (which is the value minus selling fees minus mortgage divided by 2). So if your ex gives you £X instead, does that not make sense? You''ve got exactly the same amount in your pocket as if it sold to a stranger.
It is usual to deduct sale costs even when its not actually being sold in the usual way, if a husband or wife takes over the FMH there are still costs, application for a sole mortgage sometimes searches and then solicitors costs for transfer of title.
I suppose I feel that I''m not in a position to buy, so currently renting and although I could afford the mortgage and payments (just about) I don''t want to live there. If the OH is managing this without remortgaging, I feel I lose out on the current great mortgage rate that we have and have to pay half for a sale that doesn''t really happen. I can see both sides of the fence of course!
Thanks for your responses, it''s good that you are all saying the same thing.