No announcement yet.

How to recover down payment?

This topic is closed.
  • Filter
  • Time
  • Show
Clear All
new posts

  • How to recover down payment?

    I am from Quebec. My girl-friend and I lived together for 5 years. Last year we moved in the new house which we purchased together (we are both on deed). I put 80% and she 20% in down payment. My mom borrowed me 100K, which is included in my part of down payment. Now we go through separation.
    - do I have a chance to recover my down payment?
    - will be money borrowed by my mom taking into consideration as a debt toward the house?

    Thanks a lot for your help!

  • #2
    See this thread...

    A lot of what you are asking was discussed in this thread.


    • #3
      I have read the thread, but didn’t get my questions answered.

      - After all debts toward the house are subtracted, how does it work with remaining equity, everybody gets his/her down payment or it will be splitted 50/50?

      - Can money borrowed by my mom be considered as a debt and subtracted as well before splitting the equity?


      • #4
        Do you have valid evidence that this was borrowed from your Mom and not a gift to you both?


        • #5
          Written on a piece of paper, signed by my mom with no notarization. What can be considered as a “valid evidence”?


          • #6
            The law in Quebec is slightly different than elsewhere as far as I know there is no "common law" in Quebec still.

            If you were married, the remaining equity would be 50/50 automatically no matter what contributions were made. Not being married, I believe you would get out what you put in initially. It would make sense that beyond the down payment, the increase in value in the home would be split 50/50 as you were both on the deed.

            As for your Mother's loan... if there was no agreement made at the time the money was provided it is very questionable. If you were married, the 100k would essentially be considered to have been spent on a marital asset and would thenceforth have to be split 50/50. I think in this case you may be entitled to it back.

            Obviously the first thing to do is consult a family lawyer with these questions.


            Our Divorce Forums
            Forums dedicated to helping people all across Canada get through the separation and divorce process, with discussions about legal issues, parenting issues, financial issues and more.