Shall I put my name on the mortgage?

[evea8571]

Not sure whether to post this here or in property law, please move if in wrong section thanks.

My wife bought an apartment right before we got married, everything is in her name. I have made joints payments (50/50) on all expenses, mortgage payments etc towards it since she bought it. I asked her early on in the marriage if she would put me on the mortgage since I was paying for half of everything. She agreed, we signed the forms and she told me she sent them off. For reasons I won't go into (cause it is a long story) she never did, so I am not on the deeds or mortgage, and she lied to me about it. We are past that now. We have since bought a house together, jointly in every way.

We are now trying to get better deals with other lenders. The lender said they will move both mortgages across, and my wife has been dealing with it all (its the company she works for). She just "assumed" and told them that I would go on her mortgage. I was livid that she "ssumed" especially considering the deception she pulled on me in the past. The way I see it, it is a risk for me to go on the mortgage now and there is no real benefit for me to do so, anymore. If I put my name down, no matter waht happens in the future I am now liable for those payments, and if things don't work out she could use this as leverage against me. I know I shouldn't be thinking this way, and I don't need a lecture on it, but TLDR version we have some issues and I just need to protect myself. I am unsure EXACTLY how this works though. Can anyone advise what pitfalls I need to look out for and is there any reason advantage to putting my name down now?

 

[Atticus]

Reads like your wife still has the apartment & has now included you in the mortgage application for it & your new joint property is that right?

Now would be a good time to insist that your name be included on the title of the apartment or no deal.

 

[evea8571]

Hi Atticus,
yes that is right. I am from England and I wasn't aware that you can be on a mortgage for a property but not on the deeds of the property. In England they are directly tied together, you are on both or none at all, is that not the case in Australia?

in you opinion do you think it is best me asking to go on the deeds or just refuse to go on the mortgage? The apartment is woth approx $480k but we've only paid off about $20k. In the event that we split up in the future, will this come back to bite me, or do the courts take into account that I've paid half (more than half actually) since the day she took out the mortgage?

I'd rather keep my name off the mortgage if possible, but if it is going to disadvantage me in any way then way I'll do as you suggested

 

[Nighthelyn]

Dear evea8571,

Practically, if you are concerned, don’t sign any documents without seeking legal advice. You can’t suddenly be named on a mortgage or a loan without signing documentation.

But in detail, your story doesn’t make sense to me because:

1. Actually it Is the same in UK - a mortgage‘s mortgagor must be identical to proprietor on a property - Mortgage - Registrar General's Guidelines

This link is for NSW, but true for every state In Australia.

2. I think you meant that your wife is the only one in name in the apartment, and your wife is the only name on mortgage registered on title of said apartment, but in the loan documents associated with the said apartment mortgage, it is in both your names - then it sounds like you take on a role akin to a personal guarantor and be equally responsible for payment to the loan. Whether or not that is good for you is not really a legal question but financial.

Or you and your wife both become registered proprietor on title of the apartment (no stamp duty, s68 Duties Act 1997 if the ownership is transferred from wife to you and wife 50/50 share) then you and your wife both become mortgagor on mortgage. This is probably more common. Again should you do it would depends if the refinance deal is good or not financially speaking.

3. As to the family law aspect of you and your wife, not enough information to assess, but the starting position is equal footing on the entire matrimonial pool and whether or not you made contribution or is liable to a loan/mortgage can all be relevant.

To sign any new loan and mortgage documents these days you need a solicitor to certify independent legal advice anyway, so maybe if you are not sure go seek legal advice.

Good luck!

-Nighthelyn

 

[evea8571]

3. As to the family law aspect of you and your wife, not enough information to assess, but the starting position is equal footing on the entire matrimonial pool and whether or not you made contribution or is liable to a loan/mortgage can all be relevant.

What info would help for you to assess better? I know I should go and seek legal advice, but I don't really have the time right now. I am fairly confident I am making the right decision by not going on it anyway, I was just looking to confirm that here as most people here have a good grasp of these things.

Re the last part of your quote above, surely the law isn't so weak that (hypothetically) if I've paid nothing towards her apartment (a contribution) I can somehow make a claim on it if we divorced?