In November 2016, Natalie & Adrian purchased a home for £500,000. However, only Natalie was registered as a proprietor. They each contributed £250,000 to purchase the property

In September 2022, Adrian travelled to San Francisco for a 3-year assignment related to his work. Before leaving, Adrian & Natalie agreed that Natalie was to be responsible for any decision taken regarding the upkeep and management of the property. In October 2022, while Adrian was away, the property suffered a substantial roof leak. To pay for the roof replacement and substantial repairs to the property Natalie secured a loan of £200,000 from Leland Bank, secured against their home. The surveyor sent round before the loan was granted made no enquiries about any other interest in the property, despite evidence of cohabitation.

Natalie made all the repayments on the loan. Unfortunately, Natalie lost her job last year and fell behind on repayments to Leland Bank.

The value of the property has reduced significantly because of a dip in the housing market, and it is now worth £350,000. The balance on the loan from Leland Bank is £185,000.

Which of the following identifies the most likely configuration of the beneficial interest in land?

Question

In November 2016, Natalie & Adrian purchased a home for £500,000. However, only Natalie was registered as a proprietor. They each contributed £250,000 to purchase the property 
 
 In September 2022, Adrian travelled to San Francisco for a 3-year assignment related to his work. Before leaving, Adrian & Natalie agreed that Natalie was to be responsible for any decision taken regarding the upkeep and management of the property. In October 2022, while Adrian was away, the property suffered a substantial roof leak. To pay for the roof replacement and substantial repairs to the property Natalie secured a loan of £200,000 from Leland Bank, secured against their home. The surveyor sent round before the loan was granted made no enquiries about any other interest in the property, despite evidence of cohabitation. 
 
 Natalie made all the repayments on the loan. Unfortunately, Natalie lost her job last year and fell behind on repayments to Leland Bank.  
 
 The value of the property has reduced significantly because of a dip in the housing market, and it is now worth £350,000. The balance on the loan from Leland Bank is £185,000.  
 
 Which of the following identifies the most likely configuration of the beneficial interest in land?

Answer

Adrian made no contribution to the mortgage repayments, so could be adjudged to be entitled less than Natalie – approximately 45%

Answer

Adrian would be entitled to a 50% share given his equal contribution to the purchase price

Answer

Adrian could be entitled as a beneficial joint tenant given the equal contribution to the purchase price

Answer

Natalie would be entitled to 100% of the beneficial interest as she is the sole proprietor

Crowdly

In November 2016, Natalie & Adrian purchased a home for £500,000. However, only ...

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