Joint mortgage with daughter?

soupdragon10

I live in my home with my husband and adult daughter. As I am considerably older that my husband realistically I will die some time before him. I am currently working f/t as is DD.

If I remortgaged taking a joint mortgage with DD, how would any cgt be affected if I passed away? As I understand it the portion that I owned would go to OH, and DD could claim the other half. Is this correct? How would we be affected if I were (and I hope I won't) to go into care at some time in the future - if DD owned half the house and OH were living here, what would they base care costs on?

I am just starting to look into this and am really confused, as most scenarios assume that husband and wife are of similar ages. I want to be sure that I provide for both OH and DD as well as I can once I am no longer here.

CLAPTON

who owns the house
is there a mortage
how much is the house worth
how much is the mortgage
how old are you
how old is the OH
how old is the daughter

are there any other potential beneficiaries

what do you want to happen upon your death

soupdragon10

There is a mortgage at present, about 50K. I am 58, OH is 39 and DD is 24. No idea of the house value, but certainly in excess of 300,000 (I've been here 20+ years and no comparable houses to guide as to price).

I would like to be in the position for DD to buy OH out of his half of house (increasing any mortgage as necessary) so that he could buy somewhere smaller if he wished (he could not take on a mortgage), leaving her in the family home (OH is happy with this and we have talked about this in the past).

How realistic would this be, and where would we be as far as any taxes etc. were concerned?

Mojisola

soupdragon10 wrote: »

If I remortgaged taking a joint mortgage with DD, how would any cgt be affected if I passed away?

There isn't any CGT on your principal residence. If your daughter moved away before the house was sold, she might become liable for tax on her part of the house.

As I understand it the portion that I owned would go to OH, and DD could claim the other half. Is this correct?

Not sure what you mean here. Do you mean what would happen if you died? You could leave your share of the house to your husband in your will.

How would we be affected if I were (and I hope I won't) to go into care at some time in the future - if DD owned half the house and OH were living here, what would they base care costs on?

If a spouse is still living in the home, it is disregarded when capital is assessed for care home fees.

McKneff

You make it sound very complicated.

Why not just change (if your not there already) to Tenants in common, each of you (your OH and you) will own half of the house,
make you will so that your dd inherits your half when you die, and presumably your OH will do the same.

As opposed to joint tenants whereby if you own the house between you and you die then the house goes to your OH automatically.

Go and get proper advice from a solicitor

CLAPTON

again

who owns the house?

given the house is worth 300,000 what portion of the value would you wish to pass to your husband?

if, for whatever reason, your daughter couldn't remortgage to buy out your husband what would you wish to happen

(basically write down in simple english your will)

you daughter is only 24 ; that's a lot of life left; marriage, children, divorce, or whatever

'draft' your will so we can better understand what you want to happen

jimmo

McKneff wrote: »

Why not just change (if your not there already) to Joint tenants,

Shouldn't that be Tenants in Common?

McKneff

Your right of course, and I have edited it to say so.
That glass of wine must have been stronger than I thought lol