pensioner cant pay mortgage now tenant has left

LittleMissAspie

At 67 and in a council flat, will going bankrupt really be that terrible?

lisyloo

I will get him to go to CAB about gifting the land to her

There are absolutely definitely issues with gifting.
If he goes bankrupt or goes into long term care then it can be taken back.

She should purchase it from him and get an official valuation (if it's sold below market value that won't work either).
If someone goes into long term care or goes bankrupt then there will be checks to see if they have given valuable items away. Checking for this sort of thing is standard.

If the daughter can't afford it then that's a shame, but it simple WON'T WORK to gift it.
It's lovely that he cares about his daughter but if he's totally skint and she can't afford it then I'm afriad it tough - he can't help her with this "opportunity" (I'm a little skeptical about it given his previous record).

avicola

I feel worried about this piece of land. How do you turn a field into a lake? You can't just dig a big hole and redirect an existing water course such as a river/stream and you can't put a hose pipe in. And where is the money coming from to develop it.
If you are reading this mrsS, keep checking the posts because someone will come up with a good idea. I am a big believer in group therapy and knowledge sharing, especially when all seems agains you or your friend.
Will the bank not just reposess the flat?
Have a look at www.eyeonspain.com I read there that if you put a deposit down on a development and if it doesnt get built or the developers go bankcrupt, you still have a financial stake in it.
Go to a solicitor and check everything you can on the internet.

avicola

How wierd. I happened to look at mrsS's profile - just because the name became active when the cursur went over it, so I clicked to 'see what you could see.' And I see you are a chartered accountant, so I guess you probably know about gifting.
But that doesn't mean I don't want other people to stop thinking of solutions because people have been a big help to me.

mrsS_2

hi thanks to everyone. gifting wont work as it would be looked into as a disposal of assets- would have worked if he had done it earlier though. it can be done on paper but will be a waste of time and money.

however he has now taken legal advice and the solicitor recommends he lets the mortgage company have a charge over the land for the shortfall on the mortgage, in order to release the charge on the eventual sale.

fyo- if you have a stream running through a piece of land as long as you have planning permission and have the enviroment agency agreement then you can get permission to dig holes and divert water courses. not a simple excercise though.