Determining Equity btwn Dom. Partners; Tax Question

[kellyj4]

What is the name of your state? NY

My domestic partner and I are in the process of looking for a condo or co-op to purchase.

I have ~$50-60k to put down, he has ~$10k to put down.

Because he is working full time and I am not (and he has better credit), we intend to put only his name on the mortgage. However, we would like both our names to be on the deed.

My father currently controls access to my down payment and will not release the money until my boyfriend and I provide a legally-reviewed document indicating that I own $50-60k in equity in the house (depending, of course, on how much of my money goes toward our down payment and how much goes toward closing costs, etc).

I am happy to hire an attorney, but I really don't understand the legalities involved. I'd prefer to be reasonably informed going into this.

I understand that there is no pre-fab contract for this particular situation, but is there a precedent for this?

If my down payment money is in an account in my father's name, will I be required to pay taxes on it when he transfers it to our joint account? I have put about $20k into that joint account already, and the rest of my down payment money comes from equity I hold in a house in California, which is owned by my parents.

In case it makes any difference, my partner and I intend to get married within the next year or so, but want to buy sooner so we can start saving some money.

 

[BelizeBreeze]

What is the name of your state? NY

My domestic partner and I are in the process of looking for a condo or co-op to purchase.

I have ~$50-60k to put down, he has ~$10k to put down.

Because he is working full time and I am not (and he has better credit), we intend to put only his name on the mortgage. However, we would like both our names to be on the deed.

My father currently controls access to my down payment and will not release the money until my boyfriend and I provide a legally-reviewed document indicating that I own $50-60k in equity in the house (depending, of course, on how much of my money goes toward our down payment and how much goes toward closing costs, etc).

I am happy to hire an attorney, but I really don't understand the legalities involved. I'd prefer to be reasonably informed going into this.

I understand that there is no pre-fab contract for this particular situation, but is there a precedent for this?

If my down payment money is in an account in my father's name, will I be required to pay taxes on it when he transfers it to our joint account? I have put about $20k into that joint account already, and the rest of my down payment money comes from equity I hold in a house in California, which is owned by my parents.

In case it makes any difference, my partner and I intend to get married within the next year or so, but want to buy sooner so we can start saving some money.

Here is a very easy to follow example of why your father is the only smart (and honest) one in this deal.

You and your 'partner' sit at the table. You put your $60,000 in the middle and he puts his $10,000 in the middle. Now, count to 10 and you each take 50% of the pile and go your separate ways.

Who gets screwed and who gets over?

 

[lcannister]

I am happy to hire an attorney, but I really don't understand the legalities involved. I'd prefer to be reasonably informed going into this.

I understand that there is no pre-fab contract for this particular situation, but is there a precedent for this?

I am pretty sure a competent Real Estate Atty or Estate Planner can come up with a legally binding contract.

Depending on the kind of loan you are getting the transfers etc. that you plan on making may not be acceptable to the lender.

Can your live in afford this loan on his own without your monies? If not it MAY not fly your way of planning it.

If your live in had his own lawyer he would be told he is a complete and utter fool unless he takes great measures to protect himself giving you 1/2 interest and he gets the mortgage to pay off all on his own!