Changing name/ deeds of the house?

myright

Thanks guys

I've been checking out solicitors fees. Their charging around £700 inc vat for this.

The situation is :

House is worth around 80k
Mother wants to put it on kids name. it's her choice
Basically, she would never be kicked out of the house as we're very close (which is to be expected), she just doesn't trust anybody else apart from kids.
We will not be selling the house up as it's our family house.

So with fees being like £700 I was just thinking we should fill out the forms ourselves with the land registery.

If it is necessary to pay that sort of money for the solicitors cost, then I guess I'll have to put some money together and do it.

But in a straight forward transaction is it advisable to just fill the forms out ourselves?

Senior_Paper_Monitor

Senior_Paper_Monitor wrote: »

The paperwork transaction is simple and cheap.

The potential complications of such a transaction are not - TAKE PROFESSIONAL ADVICE !!

I really don't know how to stress my previous comment enough - there really is no such thing as "a straight forward transaction" in this area.

I'll make the time to pull out a couple of the 20 or so possible disasters lurking around the corner ....

Child one gets involved/married to 'bad sort', debts involved - separation, divorce and split of assets demanded - guess what - that includes your mother's house !

Under current regime (may lapse next year / may not) first time house owner stamp duty exemption disappears for each of the kids.

.... as mentioned by others, 'deprivation issues' may or may not loom.

This may well be a totally sensible route but not one for a 'do it yourself job' - a £700 fee should include appropriate advice and information for all concerned, well worth the money.

myright

thanks for your advice sir. we have already considered all of those roots. , in terms of marraige, we will NEVER be recklass with our house and we do understand our responsiblities when it comes to the house.

In terms of the paper work, which forms are actually needed to be filled etc?

Annisele

Senior Paper Monitor's "child gets married to bad sort" was only one of the potential disasters you're opening yourselves up to - there are plenty more.

We can't tell you what all of them are, because we don't know your full circumstances. That's what you pay the lawyer for!

myright

thanks for all the info there...

I understand them scenerios now.

Is there any tax implications for both parties if the house is transferred as a gift? the house os worth 80-100k. ofcourse nobody would know, but in general terms what are they?

Annisele

myright wrote: »

Is there any tax implications for both parties if the house is transferred as a gift?

Yes.

I'm reluctant to give you too many details, because I don't want you to think "oh, those people on MSE have told me everything I need to know". We can't, and you need professional advice.

You might get bitten by CGT and loss of principal private residence relief, inheritance tax (gift with reservation) and stamp duty (loss of FTB exemptions). Plus many many more, some of which I'll never have heard of.

myright

thank you for the help there.

I dont think CGT or inheritance tax would affect us as the property is only worth between 80-100k ?

Senior_Paper_Monitor

I certainly suspect (can't be sure and am making some major assumptions about the case) that CGT and IHT are not the most likely problems - I do believe that 'deprivation' and 'gift with reservation' may both raise their heads in the future and I have see many people who firmly believe "they will NEVER be recklass with our house and we do understand our responsiblities" come a cropper later because they simply didn't understand the issues.

£700 will be a very good investment in advice - if the parties cannot afford £700 in th ecircumstances I would not be gifting my car, let alone my house, to them (see post 13) !

I am a 100% with Annisele here in that I am concerned about confirming what the OP wants to hear (learn?) and that will be their excuse to charge off with 'everything they need to know'. I repeat for the third time and last time before I retire hurt and console myself in a bucket of Stella - TAKE PROFESSIONAL ADVICE.