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advice on buy to let debt

  • is1
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24 Sep 08 #51139 by is1
Topic started by is1
the ex has 8 properties purchased in his sole name and the mortgages are in his sole name.

They were purchased from money in our joint account and the accounts will show that they have not made any profit in the last tax year ie the rent did not fund our mariatl lifestyle.however we he was able to take out significan equity in that time from the properties (he bought them cheap) ... and this did go to paying off our mortgage, refurbishing the marital home etc.

In the marriage split what is my liability if they are now in negative equity and secondly if he can't afford to pay the mortgage as the mortgage rates go up shortly, am I at risk in any way?



Thanks

  • LittleMrMike
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25 Sep 08 #51371 by LittleMrMike
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If the properties are not in your name and you did not sign the mortgage I don't see how you could be directly liable to the lender.

But since the mortgages were used for purposes consistent with the common benefit, it is possible a Court might take that into account in deciding what to do with the other assets.

Mike

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