Common-Law Sale of House

[c_bro]

Brief Story:
CL 10 years
Both Names on Title of house
I put $6,000 downpayment
Our Seperation Date was Oct 1/07
We both remained in house
She moved out of house Nov 1/08
From Sep date till time she moved out she contributed 0 for mortgage, 0 for Hydro, 0 for Gas, 0 for property taxes, 0 for phone, 0 for children's activities,0for house insurance, 0 for car lease payments for which car lease in both names, 0 for auto gasoline.
She paid monthly $100 rogers, and food for which she was paid rom CCTB,
For 2 years, I was stay at home dad doing all chores and responsibilities, I had to take out a personal loan to pay for expenses. She lost job Jan 2007 due to addiction and recently completed a recovery program.
We have 3 children
Interim agreement signed Nov 27/08 stating:
1) 57% children with me, 43% for her
2) No spousal support
3) No child support
4) Children remain in same school for which they grew up in

Question 1) Am I entitled to my down deposit from the house
2) Does she be held responsible for half the household and mortgage expenses since the sep date

I am planning on obtaining a mortgage on my own. I am under the understanding that equity division starts at 50/50. I was told a sep agreement must be signed between both parties. In order for me to draw up
a sep agreement can I...1) List the sale at the price set out by an appraiser
2) I had house assessed at sep date at $227,000, today it is assessed at $242,000. What should my list price be?
3) Can I subtract $6,000 of my downpayment from her equity
4) Do I subtract half of 5% or 6% real estate commisions
5) Do I subtract of lawyer fee to sell house
6) Any other ways to bring her equity down.

How do I find out facts of the law regarding common-law. I need prove to her the law of my facts as she thinks only her way or the highway on everything.

Thanks to Everyone

[FL_Needs_To_Change]

Pertinent INFO:
>>CL 10 years
>>Both Names on Title of house
>>I put $6,000 downpayment
>>Seperation Date was Oct 1/07
>>She moved out of house Nov 1/08
>>3 children
Interim agreement signed Nov 27/08 stating:
1) 57% children with me, 43% for her
2) No spousal support
3) No child support
4) Children remain in same school for which they grew up in

Originally Posted by c_bro

Question 1) Am I entitled to my down deposit from the house
2) Does she be held responsible for half the household and mortgage expenses since the sep date

When assets splitting is requested the general rule is that all debt and all assets are split 50/50 unless it can be shown that something (IE the down payment) is the ownership of one party.

With CL unions the asset splitting is not guaranteed as in a legal marriage. In a legal marriage ownership is a given once the "I-Do's" have been said and the papers have been signed and witnessed.
In CL unions the parties own what they came in with and only those assets clearly listed as owned by both are subject to splitting unless one can show unjust enrichment IE a large asset like a car or home etc.

But since both names are on the title, both own it equally and both own the mortgage equally and the equity up to the separation date. The fact that she remained in the home does not entitle her to the last year of increased equity because you were in fact separated and she contributed nothing during that time frame. So the appraisal on the separation date is the value you show use.

If the mortgage is less then the total equity, then you can buy her out of her share of equity and refinance the home under your own name after having her sign off on the home.

IE if the mortgage owed on the sep date was $150,000, $75,000 was each's responsibility. The value @ sep date $113,500 each. Therefore $113,500 less $75,000 = $38,500 equity left to each party. This would be the amount you would offer as a buy out. If there is documentation that you provided the $6,000 and there is no other agreement that stipulates what % of the ownership each has to the home upon separation then you could remove the $6,000 from the buy out amount and buy her share for $32,500. I think that would be fair.

Originally Posted by c_bro

4) Do I subtract half of 5% or 6% real estate commisions
5) Do I subtract of lawyer fee to sell house
6) Any other ways to bring her equity down.

All costs should be split, as it seems unfair that one party must carry these charges alone. Had you not separated and wanted to sell, you would both at least contribute proportionately to these costs.


Here are a couple sites to read through on family law and CL unions.

Provincial and Territorial Matrimonial Property Laws
http://www.attorneygeneral.jus.gov.o...y/familyla.pdf
Common-Law-Separation-Canada.com home page
http://www.nelligan.ca/e/pdf/Dividin...separation.pdf