PoA / Purchasing Mother's home

Steve1810

Hi,

I was granted power of attorney for Mother prior to her being diagnosed with dementia. She is now in a nursing home and wishes the house be passed to me (which I am aware is now to late).

I am in a position to purchase the house (slightly under market value). Am I able to do this as I would be acting as both the seller / buyer? The house had already had interest on the market but I awaiting legal advice.

Any input would be appreciated.

Thanks

ILW

Selling to yourself at below market value could cause all sorts of problems.

BitterAndTwisted

You cannot sell it to yourself at even very slightly under market value as that would not be in the best interests of the person who you are acting on behalf of. If your relationship with your mother won't make you act with the utmost integrity, the law should.

Get three independent valuations and take an average of them.

troubleinparadise

I am assuming that your mother is self-funding in her nursing home due to her assets.

Should there come a time that her funds fall below the threshold, and she needs LA assistance with funding, a financial assessment of her affairs will be made.

If it is seen that her house was sold below market value via her Attorney to themselves that would be seen as deprivation of assets.

At some point you will probably use a solicitor in the conveyancing process. They should also advise you on the legal position of an attorney acting in the donor's best interests; to act otherwise would be fraud.

princeofpounds

If you have power of attorney you need to act in her best interests. Asset stripping her does not qualify.

Jenny.W

I have POA as my husband is in the forces. We were told that I could not act as POA as I cannot sign as the seller and buyer on the land registry forms

Richard_Webster

There is no way a person with a lasting or enduring power attorney can sign the donor's house over to himself just like that.

We had a case where this happened but the attorney had to make an application to the Court of Protection and show why it was in the interests of the donor that this should happen and provide evidence that the donor in fact wanted this to happen. In that case we had to get independent valuations. Before the donor had lost her faculties the donor had made a will leaving the house to the attorney.

So in that case the attorney was actually worse off than she would have been if she had waited for the donor to die.