need some serrious home help on what to do

Mojisola

d4gl15h wrote: »

wow i didn't no that, obviously the kids come first but if it was to ever happen it would be her walking away not me as i would never leave her, but i would see her ok and make sure the kids were fine and had what they needed.

If you were to split up, she could get a court ruling that she and the children could stay in the house and you would have to leave.

bob2

If I understand correctly...

In 2011 you gave £20,000 to your parents who then bought the house in which you now you live with cash for £70,000 - by raising a raising a mortgage on their existing home (£50,000) and using the £20,000 you gave them.

Unless I'm missing something - in return for your £20,000 you did not get recorded as owning a share of either property.

You mother and stepfather owned the house you live in as tenants in common - and your mother has left her share to you.

So presumably you now already own 50% of the house you live in? Assuming they had equal shares.

Is this all correct?

d4gl15h

b!!! wrote: »

If I understand correctly...

In 2011 you gave £20,000 to your parents who then bought the house in which you now you live with cash for £70,000 - by raising a raising a mortgage on their existing home (£50,000) and using the £20,000 you gave them.

Unless I'm missing something - in return for your £20,000 you did not get recorded as owning a share of either property.

You mother and stepfather owned the house you live in as tenants in common - and your mother has left her share to you.

So presumably you now already own 50% of the house you live in? Assuming they had equal shares.

Is this all correct?

yes that's right mate

BitterAndTwisted

d4gl15h wrote: »

Would it be better to get my name put on deeds which i can do no problem so i then own the house outright and then take out a loan against the property and pay my step dad the required amount.

Doing it that way assumes that:

1) Your step-father is willing to gift you his 50% of ownership and

2) Trusts you enough to get a mortgage on the property for you to then pay him back.

or

apply for a mortgage for the required amount and then pay him off that way?

In the real world, this is what would normally happen.

if i get a homeowner loan i wont have solicitor fees ect will i ? just the cost of transferring names on deeds and also the loan would be the same amount each month for the full term would it were as a mortgage fluctuates.

Unless you have experience of conveyancing you'd be a ruddy fool not to have a solicitor do this for you. Which would automatically attract a fee of about a grand.

Unless you negotiated a fixed-rate mortgage the monthly repayments could indeed fluctuate.

I don't understand the distinction you are attempting to make between a mortgage and a "home-owner loan".

InMyDreams

OK, so you need to be 100% sure how the house was owned by your mother and step father. Was it as a joint tenancy or tenants in common? If it was a joint tenancy, then even though you and your step father might consider you to already rightfully 'own' 50% of it, legally it would still be 100% your step-father's and he would now have to 'gift' you the 50% share that you both agree you should own. This would be better done sooner rather than later because if your step father was to die within 7 years of the 'gift', it would potentially be liable for inheritance tax.

d4gl15h

BitterAndTwisted wrote: »

Unless you have experience of conveyancing you'd be a ruddy fool not to have a solicitor do this for you. Which would automatically attract a fee of about a grand.

Unless you negotiated a fixed-rate mortgage the monthly repayments could indeed fluctuate.

I don't understand the distinction you are attempting to make between a mortgage and a "home-owner loan".

yes he is willing to gift me his share as it was bought for us to pay back as it is my house, just not on paper.

yes he trusts me to get a mortgage and pay him back.

is taking his name off the deeds and putting my name on the deeds not a simple process ? as i don't technically need a mortgage for me to own the house as he is willing to put my name on and take his off and trusts me to pay the remaining payments for the next 12 year.
my house were i am living has no mortgage on it at all it is bought outright so if i got deeds changed to mine i would qualify for homeowner loan to pay my stepdad in lump instead off bit by bit each month for the next 12 year, then i would pay the loan i took out for the remaining term.

GDB2222

Well, all the changing of names on the Land Registry and refinancing is normally done at the same time, so nobody is left hanging on and trusting the other.

InMyDreams

Also you do need to be aware of the inheritance tax issues. If he just gifts you the house and then drops dead you may find yourself with a tax bill of 40% of the value, even though as far as you and he are concerned it was yours all along. You really do need professional (paid for) advice, I think. Are you 100% sure yet whose name(s) the house is in legally (as opposed to than morally) yet?

bob2

InMyDreams wrote: »

Also you do need to be aware of the inheritance tax issues.

The house is only worth about £70,000 - so whether this was an issue would depend on the value of the rest of his estate (i.e. the other house).

GDB2222

InMyDreams wrote: »

Also you do need to be aware of the inheritance tax issues. If he just gifts you the house and then drops dead you may find yourself with a tax bill of 40% of the value, even though as far as you and he are concerned it was yours all along. You really do need professional (paid for) advice, I think. Are you 100% sure yet whose name(s) the house is in legally (as opposed to than morally) yet?

Step-dad has a tax-free band of £325,000. Unless he has given that much away already inheritance tax is not an issue.