End of Term Mortgage - Joint liability

Our Mortgage term ended on the 1st November. The outstanding amount is pretty high.

Its a joint liability as FMH was awarded to me (subject to mortgage). Ex has written to Lender advising that he refuses to allow the term to be extended - and will not contribute to its payment as the Court is not forcing him to. I have been meeting the mortgage payments out of my periodical payments (which was not agreed - as have little option) I cannot afford to settle the outstanding liability.

Ex is hoping that the lender forces sale of the FMH in order for the debt to be paid. However he has substantial assets - one of which was acquired from equity releases of the FMH.

Can the Lender simply force sale of the FMH which effectively makes me liable for the whole debt - despite them admitting that it is a joint and several liability. The FMH was transferred to me via a TR1. As my ex refused to co-operate a Judge signed it.

My ex and his new wife are high earners with assets - will the Lender consider going after his assets to make him pay his share of the liability

I imagine that they would come after you first as you are the one living there and benefiting from the house, rather than your ex. Especially as I see that you have already been to court to get him to pay the arrears and your costs and your application was dismissed.

Thanks Cupcakes.

However his application to be released from the mortgage liability , force sale of the FMH, make me refinance the debt or sell the FMH - was also dismissed by the same Judge.

The Lender is prepared to extend the debt - they advised me to file requesting a Judge orders him to extend - which they will act upon.

They have no wish to come after me when I am a full time carer, so suggested this course of action.

They will not release my ex.

Deborah,
I don''t really know too much about your circumstances but it looks to me as though you have a financial order and, almost certainly, and for better or worse, you are stuck with it.
In my experience, the Courts will not order the transfer of a property to one party to the divorce ( usually, of course, the wife ) unless that party can afford to meet the mortgage payments out of his/her own resources, which includes periodical payments where appropriate. There is clearly no point in ordering a transfer of property if the proposed transferee cannot afford to live there.
The whole purpose of periodical payments is to enable the supported spouse to meet his/her living expenses, which includes housing. You could apply for a variation of the order to increase the SM but there has to be a change in circumstances. Maybe if he is cohabiting with a new partner, that could be a change in circumstances but not knowing anything about your situation, I can only say this is an option but you need legal advice before trying anything like that.
Whether the lender can ask for repossession depends very much on whether there has been a breach of the terms of the mortgage.
In my experience:
(a) Lenders do not normally like to take possession proceedings and will usually be sympathetic to coming to some sort of financial deal which would avoid it. Often the lender can lose by a repossession too.
(b) Judges will be reluctant to order repossession unless it is clear the borrower can''t meet his or her commitments.
(c) Yes, the lender can ( and undoubtedly would ) sue your ex, but, unless I am very much mistaken, you would have agreed to indemnify him against any losses ( this is what usually happens with this sort of arrangement ) and if he is called upon to pay, he is likely to knock it off your spousal maintenance.
So, my recommendation to you is that you seek advice, either from a CAB or, in your case , from a specialist housing charity and in particular Shelter, who can give you some useful advice. There are certainly many things that can be done to avoid repossession.
Applying for an increase in the maintenance may be an option but there simply must be a change in circumstances as compared with the original order, otherwise you have no chance.
I am sorry but sometimes it is necessary to give advice which is not welcome. The fact remains that, after divorce, finances are often very tight. I have very considerable experience in debt advice, but nowdays I think I''m a little past it, but I do know that there are many things that can be done to help, including benefit checks. The advice is free, so take advantage of it.
LMM

Hello LittleMrMike,

Thank you so much for your advice - its been very useful.

There are a few points I can clarify for you.

I was not asked to indemnify my ex in the Order. I have since refused to for obvious reasons. The Judge who prepared the CO realised by x would be an awkward character. He ordered life payment for myself and my daughter with DS and 50% university fees for our other daughter. He ordered the transfer of the property to me - subject to the joint mortgage. Another Judge subsequently signed the TR1 as my x refused to do so.

He was cohabiting with Co-respondent before the order and indeed lied on his form E stating she was his "landlady" charging rent! He married her within 6 months of our Absolute and still lives in the home she owned before they met.

I have do have substantial equity in my home as we have lived in it for 23 years. The Judge considered in impact of our Daughter who has Downs Syndrome moving to another area. She has a good network of support from neighbours and friends - which has given her much needed freedom. I could have afford to buy a smaller property suitable for 2 of my 3 children and myself.

The Application I have filed is to vary the order to address the issue of the EOT mortgage. I did not consider applying for an increase of maintenance - so thank you - I shall file again if necessary. I also requested the order to be set aside if necessary due to my ex non disclosure, mis representation and false information - all of which I have been able to gather evidence of since the order.

My x owns his own business (which I helped him set up any years ago) - which is another reason why the Judges made some of the decisions they did (lifestyle accustomed to).

I am prepared to pay my 50% liability on the outstanding liability - my x is refusing to co-operate and is hoping to "sit it out" until a sale is forced as he and his new wife are fine…

I am in the position of being able to afford to pay the mortgage out of my periodical payments. However I cannot obtain a mortgage on my income and periodical payments (the usual catch 22).

All my ex has to do is just agree to the Lender extending the loan. I am prepared to keep paying the mortgage - but he is not a nice man!!