Gifted Equity - Help!

Yorkie1

hazza74 wrote: »

She has care now which we care for her, we have already talked to a lender and they said its ok is she is still living here.

Is there any likelihood of her a) needing state funded care (i.e. more than you can do for her) or b) needing to claim means-tested benefits in the foreseeable future?

If so, she will be treated as if she still has £40K funds and therefore not given the benefits or care until the notional cost has been used up.

This is what is known as deprivation of assets. The state will not fund means-tested things where the person has deliberately given away assets within the foreseeable previous timescale.

hazza74

Yorkie1 wrote: »

Is there any likelihood of her a) needing state funded care (i.e. more than you can do for her) or b) needing to claim means-tested benefits in the foreseeable future?

If so, she will be treated as if she still has £40K funds and therefore not given the benefits or care until the notional cost has been used up.

This is what is known as deprivation of assets. The state will not fund means-tested things where the person has deliberately given away assets within the foreseeable previous timescale.

Other than her pension and other stuff she wont need to claim from the state, she would be living rent free and no bills to pay. I think she would be alot better off than us!

hazza74

regarding this gift of equity, how do we get proof, is it just a case of grandmother writing a letter or does a solicitor have to get involved?

holly_hobby

The solicitor would generally request and deal with any gift disclaimer of the Donor re beneficial interest.

Having said that, please don't ignore what I have said re verifying directly with the lenders underwriters/legal dept, that they are happy not to have vacant possession on completion ..... it is vital that you establish this (and I'd get it in writing), before you start incurring (non-refundable) mge and legal fees, on the basis of what a call centre clerk believes to be "not a problem", when in reality its rather the opposite - as we really don't want to see you out of pocket and disappointed, always best to verify such things with a 2nd informed party.

Hope this helps

Holly x