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Topic starter
03/03/2014 12:12 pm
Bit of a theoretical fact finding question for time being, but...
If i was to leave my partner what happens with the house/equity etc?
At the moment i can see two options:
Option 1 - Sell the house, while still living together. When it sells the equity obvioulsy goes to trust deed. Would that mean i wouldn't need to pay the extra few months at the end of the trust deed if i've already paid it just now?
WOuld any equity be split in half between my partner and my trustee?
Option 2 - Not sure if i would be able to do this even if i wasn;t in a trust deed...But could i sign my half of the house to partner so they still lived there and then the equity would still be paid at the end of trust deed as originally planned even though i had nothing to do with house?
No where near at the stage to sell or move out...just looking for some advice.
Also i understand renting is impossible during a trust deed with bad credit etc, but does that include council housing?
Protected 2014...due to finish 2018...early finish after selling house!
03/03/2014 12:26 pm
Hi FF36.
Assuming that the house is jointly and equally owned, and that you're in a trust deed and your partner isn't, a sale of the home would result in your share of the equity going to your trust deed and your partner keeping their share.
That should mean that you have no further responsibility for equity, unless you committed to a fixed sum at the start perhaps and the amount generated isn't enough. Best to run this by your trustee to be sure of the position.
I doubt that your trustee would allow you to sign over your share of the house to your partner.
I cannot remember anyone on this forum over the years finding it impossible to rent a home while they're in a trust deed. There might be some landlords that are reluctant, but everyone that has written on this subject has been able to rent a home as far as I can remember.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
03/03/2014 12:29 pm
That sounds very promising, thanks.
Protected 2014...due to finish 2018...early finish after selling house!
03/03/2014 12:46 pm
The following article is nearly three years old FF36 but I think the content (regarding renting a home during trust deeds) remains relevant:
(Link Removed 2020).
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
Topic starter
03/03/2014 12:52 pm
Thanks, that's very reassuring.
Protected 2014...due to finish 2018...early finish after selling house!
03/03/2014 3:08 pm
Your partner could seek to buy out your share of the equity, FF36, if she is able to afford to make sufficient payments into your trust deed to do so. The ownership of the house could then be formally transferred into your partner's name, but only once enough has been paid to your trustee, not before.
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
04/03/2014 2:43 pm
Hi FF36,
I've not know of any real problems with a client moving accommodation and renting during or after the Trust Deed because of their credit rating. I've got plenty of clients who have moved address and not reported any problems.
Some letting agents can be a little choosy but if you have a big enough deposit you should be fine.
David is not currently posting in the Trust-Deed.co.uk forum
