IN-LAWS THINKING OF SELLING UP-ADVICE NEEDED

[chas2008]

Due to there age at the time my in-laws couldnt get a mortgage without my brother in law (long story and loads of bad history)..It was purchased in 3 names now my in-laws are thinking of selling up an moveing to be near my wife & myself.My brother in law hasnt lived there for over 2 years and during the time he did he never contributed a single penny to any maintainance if anything he didnt pay his share of the mortgage on many occasions.
Unfortunately when the mortgage was taken out they never really took any legal advice as there could of been clauses put in to cover these things.Basically if they now sell can they deduct an amount from his share to cover .ie central heating,replacement windows,conservatory etc.etc ??

[bednobs]

hi chas i think it's unlikely. Why should the brother pay maintenance even though he didn't live there? If the in-laws let him get away without paying the mortgage, then they are silly. If the house seels for less than the mortgage, they would expect him to take on his share of the debt, wouldn't they? so why shouldn't he take on his share of the profit?

[bednobs]

but PS i am notoriously wrong about things, so i would wait for other answers if i were you

[chas2008]

he lived there for the full term of the mortgage he also still has a bedroom and own living room there. .How could they force him to pay ? they are in there late 70s,the mortgage was paid up approx 3-4 years ago.

[boxtops]

It sounds as if then he would be entitled to a share of any profit (but equally should share in the cost of selling etc.) - does he have somewhere else to live, then? Your parents really need some legal advice now, to make sure they are not diddled when they come to sell. If the mortgage is paid, presumably your parents have the deeds of ownership - whose names are on that as legal owners of the property?

[chas2008]

my in-laws have spent thousands on this house while he sat back ,watched & benefited from the extra comfort.

[chas2008]

its in 3 names

[boxtops]

That's been their choice then, sadly - they could have asked him (as co-owner) to contribute at the time, or sought proper advice to make sure that any material additions they made to the house could be counted when they came to sell. They need legal advice now, so they know exactly where they stand.

[chas2008]

not arguing about wether he gets a share of the profit but why should he get an equal 3rd share when his input has been zero..The value of the house has increased because of my in-laws time & money

[chas2008]

Hes a nasty piece of work who hasnt had a full time job in over 15 years...(onother long story)
I am well aware that legal advice should of been sought at the very beginning..

[dotty.]

if the mortgage is paid, he has no legal tie to the property, or is he on the deeds aswell? Have you been told directly by the brother-in-law that he expects a 3rd share of any sale proceeds? It could be that he will sign the house over to them without any problem, is he not a good son then? He wiil no doubt inherit his equal share from his parents when they are gone and so he may be happy to do that,

[boxtops]

Sounds like not a good son, dotty, from chas' latest post - and he says deeds are all all 3 names. Not a good position for the in-laws. Can I suggest chas, that as a first step they go to the CAB to see where they can point them for advice?

[chas2008]

they were extremely naive when they entered into this all the mortgage broker/solicitor was interested in was selling them a mortgage....No one thought about the long term consequences.

[bednobs]

hiya, I've read what you said but taking out a mortgage isnt a small undertaking is it? He put his neck on the line to help them when they couldn't get a mortgage on their own - that dosen't sound like a "BAD" person to me There is a lot of risk when getting a mortgage, which he undertook. Don't forget the parents have had the benefit of the improvements they've made too - it hasn't just been for his benefit. maybe he din't want the improvements made at the time, so if he didn't agree with them, why should he pay. Look at it like he was a stranger (or "business partner"), take the family bagge out and it starts to look more reasonable

[chas2008]

business partner ?
he hardly ever contributed to gas/water/electricity/council tax even food....just a bit one sided. In effect he just sat on his a***e and did b*g**r all

[bednobs]

well, unless he starved, i presume that the parents fed him out of their own volition. You can't retro-impose a contract on someone (ie because we fed you and paid all the bills we are now taking all the profits) If he had agreed to it at the time, then fair enough. When i say "business partner" i am just trying to take the emotion out of it for you and look more objectively. You speak as if the son took advantage, and you may well be right, but the parents let themselves be taken advantage of. Do they even want to stop him having any profits, or are you just upset about it?

[chas2008]

you have missed the point,there is no issue with him having any profit, which will be quite substantial,they just feel they should be able to deduct some of the extra money THEY invested in it,

[ummmm]

Then they need to speak to a solicitor...at the risk of eating up their profits.

[ummmm]

From what I remember about selling up and dividing equity...they can take it to litigation and if they prove that they paid for XYZ etc...they stand a chance of getting a greater percentage. Problem is...it'll probably be cheaper to give him an equal share. Litigation isn't funded by legal aid and will cost a small fortune.

[venator]

It's clear that it's a bit late now to raise this question, and it's a matter which is between your parents and your brother.

Your only interests are your eventual inheritance and the evident bad feeling between you & your brother.

It would not be good to turn this into a long running fight, as the only winners would be the solicitors.

Your brother would seem to be in a very strong position, with his own rooms in the house, and his name on the deeds.

i wouldn't get involved in a fight I couldn't win...