House selling legalities

thebigdipper

Hello all

I wanted to find someone who might have an answer or know where to find an answer for my question.

Is there a lowest legal price for selling a property? Let's assume no other company would be negatively affected by this transaction, eg; no mortgage and no other debts secured on the house. Just one person who wants to give the other one a good deal.

If anyone can help I would appreciate it.

Thanks

Milliewilly

HMRC could take an interest for possible stamp duty evasion once the new price is resgistered with the Land Registry. It could also throw up the issue of money laundering. Have you spoken to a solicitor?

thebigdipper

Milliewilly wrote: »

HMRC could take an interest for possible stamp duty evasion once the new price is resgistered with the Land Registry. It could also throw up the issue of money laundering. Have you spoken to a solicitor?

Hi

Thanks for responding.

If I read the HMRC website correctly the house isn't valuable enough for Stamp Duty (£175,000, I believe is the minimum for this)

As for money laundering I don't have a clue. I haven't yet spoken to a solicitor but it's an option. Exactly what does a money launderer do/how does this pertain to selling your house cheaply?

googler

Stamp Duty may be back down to the £125,000 threshold soon....

If the property is changing hands from an elderly relative to a family member for the purposes of evading inheritance tax, or deliberate avoidance of selling the property to pay for care home fees, then others may take an interest in the transaction taking place for far less than market value.....

thebigdipper

googler wrote: »

Stamp Duty may be back down to the £125,000 threshold soon....

If the property is changing hands from an elderly relative to a family member for the purposes of evading inheritance tax, or deliberate avoidance of selling the property to pay for care home fees, then others may take an interest in the transaction taking place for far less than market value.....

Thanks for your answer. Do you know what the situation is for non-elderly people and if it may be perceived as a type of crime?

On the above point, are you saying that old people can't sell their house once it looks like they're going to have to go into a care home?

jamief

thebigdipper wrote: »

Thanks for your answer. Do you know what the situation is for non-elderly people and if it may be perceived as a type of crime?

On the above point, are you saying that old people can't sell their house once it looks like they're going to have to go into a care home?

Please contact a solicitor regarding this - professional advice is the best way forward when estate planning.

Milliewilly

thebigdipper wrote: »

Thanks for your answer. Do you know what the situation is for non-elderly people and if it may be perceived as a type of crime?

On the above point, are you saying that old people can't sell their house once it looks like they're going to have to go into a care home?

Yes there can be claims on the estate to pay for nursing home care fees unless you live in Scotland. If the house is sold before a person goes into care its one of the first things Councils will look at unfortunately.

If you have claimed from the state all your life and have nothing to show you get looked after in your old age. If you have worked and contributed you get your house sold off for the privilege.

thebigdipper

Milliewilly wrote: »

Yes there can be claims on the estate to pay for nursing home care fees unless you live in Scotland. If the house is sold before a person goes into care its one of the first things Councils will look at unfortunately.

If you have claimed from the state all your life and have nothing to show you get looked after in your old age. If you have worked and contributed you get your house sold off for the privilege.

That's terrible! Bloody government, eh?

Thanks for your responses everyone.


So as for a home-owner who wants to sell it cheaply who isn't elderly/going into a care home, is there anything illegal about that? Is this where perceived money laundering occurs?

chappers

It may be percieved that the registered house price is only part of the transaction and that there may be a cash deal going on simultaneously in the background.

e.g gangster x has £30k legitamate money he buys a house worth £150K for "£30k" but actually also hands over £120k in cash. He has bought a legitimate asset from someone else and created a legitimate asset for himself ,all be it with dirty money.
He then sells for £150k and has legitiamised £120k of dirty money.

puddy

so how does it work when those big companies like MG get sold for a pound

devils_advocate

Companies suffer from negative equity too! In the case of a business sold for a quid, the buyer agrees to take on the debt, which can be several hunderd million pounds