When a relationship breaks down, the family home is often the most difficult issue to resolve. If the property is jointly owned, one partner may wish to stay in the home while the other moves on. In many cases, this involves buying out the other person’s share. But what happens if you simply can’t afford to do that?
This is a very common concern during divorce and separation. Rising house prices, stricter mortgage lending and changes in income mean that many people are unable to take on the mortgage alone. Understanding your legal options early can help reduce stress and avoid costly mistakes.
In this article, we explain what it means to buy out a partner, why it’s not always affordable, what alternatives may be available and how to arrange a free 30-minute consultation with a family law solicitor.
What does buying out a partner mean?
Buying out a partner usually refers to one person taking full ownership of a jointly owned property by paying the other their share of the equity. Equity is the difference between the property’s value and the outstanding mortgage.
For example, if your home is worth £400,000 and there is a £200,000 mortgage, the equity is £200,000. If the property is owned equally, each partner’s share would usually be £100,000. To buy out your partner, you would normally need to raise that amount and take over the mortgage in your sole name.
This often requires approval from a mortgage lender, who will assess whether you can afford the repayments on your income alone.
Why buying out a partner is often not affordable
Many people assume they will be able to keep the family home, only to discover that this isn’t realistic. Common reasons include:
- Mortgage lenders refusing to offer a sole mortgage based on one income
- Monthly repayments becoming unaffordable after separation
- Interest rate increases making borrowing more expensive
- Reduced income due to childcare or changes in employment
- The amount of equity being higher than expected
It’s important to understand that being unable to buy out your partner isn’t unusual. Courts and solicitors see this situation regularly, particularly where children are involved or where one person earned significantly more during the relationship.
What happens if you can’t afford to buy them out?
If buying out your partner isn’t possible, there are several alternative options. The right solution will depend on your financial position, whether children are involved and whether you can reach agreement.
Selling the property
Selling the home and dividing the proceeds is often the most straightforward option. The sale clears the mortgage and allows both parties to move on financially.
While this can be emotionally difficult, especially if children live in the property, it’s sometimes the only realistic solution if neither person can afford to keep the home alone.
Deferred sale arrangements
In some cases, the sale of the property can be postponed. This is often done through court orders known as Mesher or Martin orders.
A deferred sale allows one person, usually the primary carer of the children, to remain in the home until a specific event occurs. This could be when the youngest child reaches adulthood, the resident parent remarries or the mortgage term ends.
Deferred sales aim to balance housing stability with fairness, but they don’t remove the other party’s financial interest in the property.
Transfer of equity by agreement
Occasionally, one partner may agree to transfer their share of the property for less than its full value, particularly if there are other assets involved or if ongoing maintenance obligations are taken into account.
This usually forms part of a wider financial settlement and must be properly documented in a consent order to ensure it’s legally binding.
Renting out the property
Some couples choose to rent out the property temporarily, using the rental income to cover the mortgage while they explore longer term solutions.
This option requires agreement from both parties and approval from the mortgage lender. It can also create tax and management responsibilities that need careful consideration.
Court ordered sale
If one party refuses to cooperate or agreement can’t be reached, the court can order the sale of the property. This is often a last resort but may be necessary to bring matters to a conclusion.
Related: Ignoring a Court Order to Sell the House: What Happens Next?
How the court approaches these situations
The court won’t force someone to take on a mortgage they can’t afford. Instead, judges look at fairness, housing needs and the overall financial picture.
Key factors include:
- Each person’s income and earning capacity
- The needs of any children
- Available alternative housing options
- The size of the mortgage and equity
- Contributions made during the relationship
The welfare of children is always a priority. Where possible, the court will try to ensure stability, but this must be balanced against what is financially realistic.
What if children live in the property?
Children often change how these cases are resolved. Courts may be more willing to consider deferred sale arrangements or allow one parent to remain in the home for longer to minimise disruption. However, having children doesn’t automatically mean you can stay in the property indefinitely. The long term financial position of both parents must still be considered.
Why early legal advice matters
Decisions about the family home can have long lasting financial consequences. Agreeing to an arrangement that seems workable in the short term may cause problems later if it’s not properly structured.
A divorce solicitor can help you understand:
- Whether buying out your partner is realistic
- What alternatives are available in your circumstances
- How to protect your financial position
- How to formalise agreements through consent orders
Early advice often helps avoid unnecessary conflict and reduces the risk of being forced into a sale without preparation.
Speak to a divorce solicitor about your options
If you can’t afford to buy out your partner, you’re not alone and you do have options.
The right solution depends on your finances, your family circumstances and what outcome is fair for both parties. If you need a divorce or family law solicitor to help you understand your rights and negotiate a fair outcome, Osbourne Pinner Solicitors can guide you through your next steps with clear, practical advice.
Please note that this article is solely for informational purposes. It’s not a substitute for legal advice. We encourage readers to contact Osbourne Pinner for case specific guidance.
We offer a free 30 minute consultation to discuss your situation. You can speak with us via video call or visit one of our offices in Harrow, Canary Wharf, Piccadilly Circus or Manchester. To arrange your consultation, call 0203 983 5080, email [email protected] or complete the form below.
