• 60/40 Split But I Pay 50/50 Mortgage

    By Guest on 19th Aug 2023

    Hi, our TR1 form is a TIC with a 60/40 split. However I’ve been paying 50/50 on the mortgage. Will the 60/40 split only relate to the initial transfer price, so any profit after that amount will be split 50/50 or will it be the whole sale price of the property that is 60/40? Also, should I be paying half of the mortgage with that split on the TR1 - I feel I’m being shafted a bit.

  • 1 Answers

    By Guest on 25/08/2023

    Unless you entered into a separate "declaration of trust" or "trust deed" then yes, the proceeds will be split 60 / 40, though in the event of a dispute you may be able to challenge that. Whether or not you succeed will depend on a number of factors. As to what share of the mortgage each of you pays - as between you and the lender, you are both liable for the whole of the debt (so if one doesn't pay at all the other has to pay 100%). As between the two of you, that is a matter for you to negotiate. You should, if possible, discus that now and perhaps agree a new split of the equity (you can do that at any time but you both need to be in agreement or else you will need a court order). Resolving the argument through solicitors and / or the courts can be expensive and can easily use up ant extra equity you might gain, and possibly more

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