Property ownership and will

Jayesdiem

Hi all. I have an apartment on which my name only is on the deeds but my name and my father’s is on the loan. This is because when we purchased it I was only 19 years old (2002) so couldn’t afford to pay the mortgage. From 2003 onwards I have lived in and then rented the apartment, managing the affairs of the property, paying the tax and management fee, collecting the rent etc. My father recently remarried and I am now worried that if he were to die, would his new wife have any claim on the property or would life continue as it has been for the last 15 years? Sorry if that sounds complicated......

AVFC.Stephen

Jayesdiem wrote: »

Hi all. I have an apartment on which my name only is on the deeds but my name and my father’s is on the loan. This is because when we purchased it I was only 19 years old (2002) so couldn’t afford to pay the mortgage. From 2003 onwards I have lived in and then rented the apartment, managing the affairs of the property, paying the tax and management fee, collecting the rent etc. My father recently remarried and I am now worried that if he were to die, would his new wife have any claim on the property or would life continue as it has been for the last 15 years? Sorry if that sounds complicated......

She will have his share I think or atleast some part of the property.

There is no pre nup in Ireland so what his is hers and vice versa.

Unless something has changed in the last year, that what I was told when getting married

You could always ask him to sign it over to you or buy his share

Glass fused light

Was the legal position not explained to you when you did the paperwork? What were the original intentions of what you and your dad agreed to?

If you came up with the deposit and your dads intent was always for you to own the property from your description your sole name on the deed gives you ownership of the property (your asset) and your dad just "owns" the loan with you (his and your liability) and on his death his estate would only owe the debt.

However if your dad wanted to protect himself from your 19 year old self doing a runner and leaving him with a debt and no asset the solicitor may have prepared a loan agreement between you and your father if such an agreement existed you could owe this to his estate on his death or until the loan is paid off. If he is still paying part of the mortgage this could be seen as a repayable loan too.
If you don't want to bring up the subject with your dad contact the original solicitor who did the legal work and ask them to explain your legal position, and while your are there make a will if you have not already done so.

Jayesdiem

Glass fused light wrote: »

Was the legal position not explained to you when you did the paperwork? What were the original intentions of what you and your dad agreed to?

If you came up with the deposit and your dads intent was always for you to own the property from your description your sole name on the deed gives you ownership of the property (your asset) and your dad just "owns" the loan with you (his and your liability) and on his death his estate would only owe the debt.

However if your dad wanted to protect himself from your 19 year old self doing a runner and leaving him with a debt and no asset the solicitor may have prepared a loan agreement between you and your father if such an agreement existed you could owe this to his estate on his death or until the loan is paid off. If he is still paying part of the mortgage this could be seen as a repayable loan too.
If you don't want to bring up the subject with your dad contact the original solicitor who did the legal work and ask them to explain your legal position, and while your are there make a will if you have not already done so.

Thanks for the detailed reply. The original intention was to buy myself and a sibling a property to “get on the ladder” as was popular at the time. The property is, and was always, meant to be mine only.

The mortgage is paid in full only by me and has always been except for a very short period (1 year maybe) when the propert was purchased.

If the property is in your name only, she won’t have any claim to it. Speak to the solicitor who drew up any deal at time of purchase.

Claw Hammer

Jayesdiem wrote: »

Hi all. I have an apartment on which my name only is on the deeds but my name and my father’s is on the loan. .

I don't understand how this can be the case. The banks don't give a loan to buy property unless all borrowers are the owners of the property. A person who contributes to the purchase price of a property has an equitable interest in the property to that extent. In the case of a father to a child, there is a presumption that this is not the case. You need to get your title deeds and bank documents and be absolutely sure what the position is regarding names on deeds and liability for loans.

coylemj

OP, the loan is now 16 years old so what you might consider is to move lender so you borrow the outstanding amount, pay off the original loan and the new mortgage will be in your name only. That will remove your father from the equation and leave you in a more secure place.

If the property fell into negative equity then potentially you and your father would be jointly on the hook for the net debt but if the property is in positive equity and you're up to date with the repayments then your father's name on the loan really has no practical effect.

Jayesdiem

Thanks for the replies. Will be speaking with solicitor this week.