Joint Ownership Property Dispute

Summary

The user and her boyfriend jointly own a house in Wisconsin. The house has appreciated in value and she wants to buy him out, offering him the amount he initially put in as a down payment. However, he demands a share based on the current market value. The user is unsure of the exact wording of the joint ownership clause in their mortgage agreement. She is considering mediation or arbitration to resolve the dispute. If she cant afford to buy him out at the current market value, she may have to sell the house. She is also considering buying a smaller property or renting if she has to sell the house.

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i bought a house with my boyfriend about one and a half years ago. the house has appreciated considerably. I want to assume the mortgage and get him out. I wanted to give him the amount he put in for a down payment. he says he entitled to get back the value of the house now if we sold it. I can't afford that amount. what is legally true. we are in wisconsin
Did you both sign a cohabitation agreement or any other legal document when you bought the house?

In Wisconsin, without a written agreement, both parties are typically entitled to the current value of the property.
I know the wording in the mortgage is that we have joint ownership
What is the exact wording of the joint ownership clause in your mortgage agreement?
I don't know for sure. what are the options we would have had. we had a lawyer help us with the wording so we were both equal
Can you provide a copy of the mortgage agreement or contact the lawyer who helped you? This will help clarify the terms of your joint ownership.
am looking for it. the lawyer that helped us is friend of his so can't contact him
Do you have any other legal advisor or attorney who can help you understand the terms of your mortgage agreement?
what would be wording that would work for me vs against me
What is the exact wording of the joint ownership clause in your mortgage agreement? This will help clarify the terms of your joint ownership.
I am not sure. will have to look for copy of mortgage.
What is the current market value of the house and the amount your boyfriend contributed as a down payment?
we paid $*,* . current market value could be $*,*. we each put down $*,*
What is the remaining balance on your mortgage? This information will help determine the equity in the home.
About $*,*
What is your boyfriend's stance on this matter? Has he agreed to leave the house and accept the down payment amount?
no. we wants a lot more because of the current value of the house
What is the nature of your relationship with your boyfriend currently? Are you both willing to negotiate or is it a hostile situation?
he might be. we are still living together and it is cordial. he thinks we are working on things but I am really done and trying to gather information before I make another move. I had not realized the value of the house had gone up as much as it had
What is your plan if he insists on getting his share based on the current market value of the house?

In Wisconsin, without a written agreement, both parties are typically entitled to the current value of the property.
what would that written agreement have looked like?
A written agreement could have outlined the distribution of assets upon dissolution, such as each party receiving their initial investment back, or a specific percentage of the property's value.
we don't have anything like that?
What is your financial capacity to buy out your boyfriend's share based on the current market value of the house?
I don't have the means to buy him out at $*,*. that would mean I would have to give him $*,*-$*,*
Have you considered mediation or arbitration to reach a mutually agreeable solution? In Wisconsin, these are often used in property disputes.
he might hire an attorney to force me to sell the house
What is your plan if he hires an attorney and forces you to sell the house?
I just found out that house had appreciated as much as it has. If he hires an attorney, I guess we end up at mediation as you are suggesting. I thought that since I know I qualify to assume mortgage at current value, that would be my stance
What is your plan if the mediation doesn't result in your favor? In Wisconsin, if mediation fails, the case may proceed to court. The Dane County Courthouse is located at * S Hamilton St, Madison, WI *.
may have to sell the house. we have a great interest rate and neither of us wants to buy at higher market rate and higher interest rate.
What is your plan if you have to sell the house? In Wisconsin, the proceeds from the sale are typically divided equally unless there's a written agreement stating otherwise.
then I have to sell it. I am hoping it won't come to that. I was trying to gather legal information before I proposed anything to him
What is your plan after selling the house?

In Wisconsin, the proceeds from the sale are typically divided equally unless there's a written agreement stating otherwise.
would have to buy something else at higher interest rate and someting smaller. not a legal issue but I love my house and am seeing if there is a way I can get him out and stay here
What is your financial capacity to buy out your boyfriend's share based on the current market value of the house?

In Wisconsin, without a written agreement, both parties are typically entitled to the current value of the property.
does current value mean what our mortgage is now or does it mean what we could get if would sold it?
Current value typically refers to the amount you could get if you sold the property today, not the remaining balance on your mortgage.
shoot. then he is entitled to more than I can afford to stay in the house
What is your plan if you can't afford to buy him out at the current market value?
either mediation or I will be forced to sell it.
What is your plan if mediation doesn't result in your favor?
then I guess I have to sell
What is your plan after selling the house?
buying something else
What is your budget for buying a new house if you have to sell the current one?
I lam not sure.
What is your current income and do you have any savings or other assets that could be used towards purchasing a new house?
we would make money on house but prices and interest rates have gone up and I am 76 years old and still working so not sure what I would do or be able to buy
What is your monthly income and do you have any other sources of income or savings? This will help determine your financial capacity to purchase a new house.
I could find something small. would cost more than condo I was in before I sold it to buy this place
What is your monthly income and do you have any other sources of income or savings?
I am not sure why you are asking me this ?
I'm asking to understand your financial capacity for potentially purchasing a new home, should you need to sell your current one.
I would be able to buy something not just as much as I would like
What is your plan if you are unable to purchase a house that meets your preferences due to financial constraints?
settle for less
What is your plan if you are unable to find a house within your budget?
I am sure I can find something, not what I want. I would have to settle for a lot less
What is your plan if you are unable to find a house within your budget in your preferred location?
rent
What is your budget for renting a place?
I don't know yet. I have a chunk of money and we would make money on house if we sold it. I would have to settle for something I could afford and learn to make peace with it.
What is your plan if you are unable to find a rental within your budget?
I know I have enough that I would find something and would have to make peace with settling for far less than I want
What is your plan if you are unable to find a rental that meets your preferences due to financial constraints?
i have enough that I could afford something
What is your plan if you are unable to find a rental that meets your preferences in your preferred location?
would find something
What is your preferred location for the rental property?
would prefer a condo
What is your preferred location for the condo?
yes
What city or area are you considering for your potential condo?
north shore area
What is your budget for a condo in the North Shore area?
$*,*
What is your plan if you can't find a condo within your budget in the North Shore area?
I don't know
What is your plan if you can't find a condo that meets your preferences in the North Shore area?
I don't know
What is your plan if you can't find a condo that meets your preferences due to financial constraints?
I don't know
What is your plan if you can't find a condo within your budget in the North Shore area?
I don't know
What is your plan if you can't find a condo that meets your preferences in the North Shore area?
I don't knw
What is your plan if you can't find a condo that meets your preferences due to financial constraints?
I don't know
What is your plan if you can't find a condo within your budget in the North Shore area?