selling/transferring house to relative?

rabialiones

would one solicitor do this and would it be cheaper
eg. brother transferring/selling to sister
parent transferring/selling to child

Sue_S

I'm just about to do this. I Inherited a house with my sisters and I'm buying them out. What's needed is a transfer of equity so I just need to provide my solicitor with the details of the property, copies of the title documents and letters from my sisters stating that they are willing to do this, then the solicitor will start to draw up the document. Sounds quite simple and I've been quoted about £350 for it.

m_13

Make sure you ask your solicitor about the charges at the land registry and whether or not there is a risk of them believing the property has been transferred under value. If they believe this then they can charge stamp duty for the value they believe the property should have been transferred/sold at.

2912pwil

Hear hear! I'd get 3 independent valuations just-in-case..

silvercar

Consider the CGT implications.

rabialiones

silvercar wrote: »

Consider the CGT implications.

please explain this , as i do not understand this
thanks

poppysarah

And take legal advice on asset deprivation for older people transferring away property.

silvercar

If the seller has lived in it as his/ her principal private residence (PPR) (main home in legal words) for the whole time of ownership then there is no CGT payable, if not then there would be a liability that is triggered by the sale of the property.

Similarly if the buyer doesn't plan on living in it immediately then this could mean a potential CGT liability in the future.

Only mentioned it on this thread because often transfers between family members are made to avoid inheritance tax bills and the potential CGT bill is not considered. This generally happens when an elderly person transfers ownership to a family member but remains in the property.