January 1, 2010 at 11:17 am #55358
I bought an off plan apt nr. Estepona around 5yrs ago along with a friend / work collegue. For the first 2 years that we were paying the mortgage everything was fine but my friend has not paid his share in over 3 months (informal agreement that we pay half each as we own half each). This has resulted in me having to pay in full to avoid us falling behind.
Everytime I speak to him about it I am fobbed off as I think he knows that ultimately I won’t let us fall behind so he will pay as and when as opposed when it is due. He has not had any change in circumstances financially but has always been hard to get money out of (I have learnt this since we bought the place not before we bought it) – my gut feeling is that he will pay when backed up against a wall (legally speaking) but how can I do this and how can I avoid this happening every month for the next 20 years?
I have threatened him with legal action although I have no idea if I have any case, we don’t have anything in writing between us.
Is there anything I can do? Can i force him to sell his share? Can i force him to keep up with the payments? Any advice appreciated. Cheers.
January 1, 2010 at 12:09 pm #95824MelosineParticipant
Assuming you live in UK and your mortgage is via UK I suggest you visit your local CAB taking your mortgage documentation and ask them.
They will give expert advice and it is FREE
You mention nothing in writing so don’t you have a joint mortgage?
January 1, 2010 at 2:45 pm #95826InezParticipant
Hi there, more info is needed before any advice could be given. As it was an off plan, I assume a spanish mortgage was taken and it sounds like you have the mortgage but have an informal agreement with yourf friend as posibly he put half the deposit down?
If the mortgage is in your sole name, then you are responsible for it – if two of you were buying then it is more usual for the mortgage to be in both names!
If the mortgage doesnt get paid, then the bank will ultimately apply to the court to settle debt – you both will end up with nothing as any equity (if indeed there is any) would be swallowed up in costs. You get placed onto a debt register here and thats it. If there is a debt outstanding after the proeprty is sold, then you can both equally be chased for it placing any UK assets at risk.
You cant force him to sell to you but if they arent keeping their end of the bargain, then you have a case to register the debt he then owes you against his half of the proeprty.
It is complex and without full info almost impossible to give any pointers but crtainly you need legal advice.
January 1, 2010 at 3:18 pm #95827
Hi, thanks for the replies. Yes the mortgage is with a Spanish Bank and in both of our names as are the deeds. When I said there was nothing in writing I meant that we don’t have anything between us eg. an agreement about what happens if either of us falls behind.
We both put down equal deposits and have a joint ownership. All costs be they mortgage, community charges, electricity, furniture etc have always been split between us. He has just stopped paying his half of anything and despite making promises to catch up he never does.
I have even told him that we have fallen 3 months behind on the mortgage and that the bank are threatening reposses but it doesn’t seem to change things as I think he knows deep down that I would never allow that to happen and would bail us out.
I just want to try and find a way of making it a legal matter to highlight how important it is and to stop it happening again.
In all honesty I could not afford the mortgage on my own even if I did manage to buy him out so that wouldn’t be an option but I don’t think he would sell anyway as he is so stubborn.
January 21, 2010 at 9:42 pm #96150
Have you considered putting it up for sale?
March 1, 2010 at 4:41 pm #97314
You both as joint owners of the property are severally liable for all the payments related to the property (mortgage repayments, taxes due, community fees, etc).
As this seems to be an ongoing situation, it doesn’t matter he gets up to date on the outstanding payments, as the risk of facing the same scenarion on a regular basis is really high.
In my opinion, the best alternative is to request the extintion of the condominium through the courts (unless he accepts to sell you his share or agrees to sell the property to a third party). This extintion of the condominium legal action is a right of the co-owners who can not be forced to continue with the condominium against their will.
In any event, you should contact a lawyer and provide him more informaton in order to be in situation to get proper legal advice, but it seems to me that this is the best legal route you can follow unless you achieve an agreement to buy his share or sell the property to a third party.
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