Regarding home loan
Querist :
Anonymous
(Querist) 18 September 2011
This query is : Resolved
Dear Sir,
I have a property in joint name with my wife in which we are staying together with our children. In the Sale Deed too, both of us are the joint owners of the property. However due to some irreconcilable differences we need to seperate / get divorced. I have availed a Home loan on the property with my wife as co-applicant. The loan eligibility has been arrived at, based on the joint income of both of us, as both of us are employed. In the event of stand alone basis of either me or my wife such eligibility is not possible. However the EMI is being paid from my individual bank A/c only. Now in the event of seperation / divorce, how to approach the bank so that the property can be with either of us. My wife is against the idea of selling the property. She wants the property in her individual name and is ready to pay the EMI s with some other sources of income (Friends, Parents etc..). But pre-payment / part payment to reduce the loan amount is not possible from her end. Both of us need to keep our CIBIL clean and hence need proper advise. Kindly guide on the legal angle.
Thanking you.
adv. rajeev ( rajoo )
(Expert) 18 September 2011
It is better to purchase the share of other joint owner or you both will have to come to an agreement in written that both should pay the instalments to the bank regularly and inform the same to the bank
Shastri J.K.
(Expert) 18 September 2011
It is better to purchase the share of other joint owner, otherwise u will got problem in future.
prabhakar singh
(Expert) 18 September 2011
I agree with the experts as to have a peaceful legal solution one of you must buy the share of other by a registered sale deed,and becoming absolute owner,the buyer shall continue to pay the balance of loan EMIs.
If none of you can buy from the other for want of valuable consideration,then one of you can GIFT IT TO OTHER WITHOUT CONSIDERATION BUT BEFORE COMMENCEMENT OF DIVORCE PROCEEDINGS.BUT A GIFT BY YOU TO HER IS NOT ADVISABLE BEFORE DIVORCE IF THERE ARE ISSUES OF MAINTENANCE OR ALIMONY BETWEEN YOU TO BE DECIDED BY COURT OR BY CONSENT OF YOU TWO.
As EMIs are being paid from your own a/c,it would be better you buy her share of the house.
Guest
(Expert) 18 September 2011
I endorse the views of the experts. Since the home loan is a very long term loan any promise to pay her share can fail any time in future. That way liability would rest upon you, while her share in the property would remain intact. You can buy her share and sell your share to her and accordingly swap the loan in a single name of the single owner.
Biswanath Roy
(Expert) 18 September 2011
It is advisable to purchase the other part of the property to become an absolute owner to avoid unnecessary complications and litigation in future.
Chanchal Nag Chowdhury
(Expert) 18 September 2011
In the given circumstance, only one of U can be the owner. So negotiate.
ajay sethi
(Expert) 18 September 2011
1)the probelm in this case is that bank should agree .
2)according to the querist
The loan eligibility has been arrived at, based on the joint income of both of us, as both of us are employed. In the event of stand alone basis of either me or my wife such eligibility is not possible.
3)if you purchase her share and become the owner of the property bank has to agree as the loan eligibilty has been arrived at based on joint income of the parties . in such a case the bank may recall the loan as bank is not convinced of your abilty to repay the loan .
4)you shpould approach the bank and request them whether if you purcahase her share of the property whether the bank would be agreeable to loan being re paid by you alone .
Raj Kumar Makkad
(Expert) 18 September 2011
The experts are pressing hard to querist to purchase the property whereas his query is otherwise.
Querist says both of them want their CIBIL clear even for future and both are ready to repay EMIs as per their share but wife is not ready to compensate her husband for the past payments made from the account of husband.
There is no problem. You both may deposit 1/2 share of EMI each for future period. Law is very clear. The share of only defaulter can be taken into possession by bank (both owners to the extent of 1/2 share accordingly to Registered sale-deed) so I advise you to make an agreement to this effect and submit it before bank authorities. If house remains joint, a time may come when you both may become joint again for the sake of your children.
malipeddi jaggarao
(Expert) 19 September 2011
Since you are not legally separated there is no need to inform the bank at this stage. She is also having separate income (as evidently told you the computation of quantum of House Loan is based on the incomes of both of you). The EMI is paid through your bank account. You have settle between both of you about these past paid EMIs. In both of you wish to keep the property in joint names, this has to be settled and to be adjusted by cross payments. Then, you continue pay EMI with income of 50% each. Division of this property, though in joint names, may a matter of court if divorce petition is filed. You have children also. Legal divroce may take its own time. In the meanwhile, you may change your mind for sake of your children. Hence, do not enter any correspondence with the Bank at this stage. If both of you are so keen to continue the joint ownership, settle the past paid EMIs and make arrangement to pay 50% of EMI hereafter.
