Deed of variation 7 years ago on Dads will

Icey77

My Mum and I were discussing wills today a DH and I are reviewing ours in a few weeks.

My Dad died 7 years ago and at the time my parents had mirror wills in that everything would go to the other. When Dad died my Mum arranged for a deed of variation so that half of the house would be put into the names of my sister and I and she would retain her half. This is all assuming I recall correctly!

My question is purely one of understanding, before anyone jumps on me for wanting my Mum's home from her etc etc. So, how does this deed of variation affect such things as a potential need to sell the house in the future to pay for care fees or IHT when the time comes for Mum. Also, what happens if Mum wants to downsize in the future?

Many thanks

Comyface

I expect it depends on the wording of the will/deed of variation.

My Mum did a very similar thing four years ago, after my Dad passed, and I know it's written in her will that she can do with the house what she likes while she's here; downsize or whatever, and what she's put in place will apply to any property she owns at the date of her death.

I think the care fee thing would only apply to 'her' half of the property, though.

I know I liked the sound of it at the time, though, and my Mum was happy with it, that was the main thing.

Mojisola

Icey77 wrote: »

When Dad died my Mum arranged for a deed of variation so that half of the house would be put into the names of my sister and I and she would retain her half.

My question is purely one of understanding, before anyone jumps on me for wanting my Mum's home from her etc etc. So, how does this deed of variation affect such things as a potential need to sell the house in the future to pay for care fees or IHT when the time comes for Mum. Also, what happens if Mum wants to downsize in the future?

Whoever did the DOV for her was very remiss if all the details weren't considered and written down at the time.

It would be normal for the widow/widower to have a life interest in the property so that they can move or downsize if wanted. If capital is released through downsizing, the will should say whether the people owning the other half of the house should be given some of their inheritance at that stage. It should also be recorded who is responsible for maintaining the property, paying insurance, etc.

It makes no difference for IHT. If the couple were married, the survivor will have an initial threshold of £625,000 before any tax has to be paid.

If the widow/widower has to go into care, only their part of the house can be taken into account. If the other owners aren't willing to sell at that time, the LA will put a charge on the property.

Icey77

Thanks, I'm sure there is paperwork relating to the DoV but my Mum would have it, I can only recall what she told us at the time. Would the DoV be recorded as part of the probate?

I assume my Dad's will would still have received a grant of probate albeit everything went to my Mum?

I didn't really want to ask the detailed questions that came to mind when we were talking about wills etc this afternoon as it felt wrong, as though I was questioning her over her will and also because it was all done 7 years ago so she might not recall the pertinent details either.

As alway, she might change her will and leave everything to the local cats home! If she does decide that's the way she wants it, they're her worldly goods to so with as she wishes

I've always been of the opinion that it's better she uses her assets whilst alive and able to use as she sees fit - spending the kids inheritance and all that :rotfl:

getmore4less

There seems to be a lot of misunderstanding about the probate/admin process and what that does, they record very little. one form and a will if it exists.

DOV are only of interest to HMRC and if those that may have an interest interested nose around for deprivation of assets.

Many DOV create a trust(life interest) so the trustees are responsible for sorting that bit out.

beyond that is it only beneficiaries that will be bothered.

madbadrob

Tell me if I am wrong but the DOV would only be applied for if the mothers will was executed? The fact is the mother is still alive and could change the will as she see's fit without the need for a DOV. Of course this would be different if the wills were mutual and not Mirror wills. Or is the case that the DOV was applied to the fathers will thus meaning the OP and her sibling would now own half the property. If this is the case as anyone notified the Land Registry? If not then the DOV hasn't been executed in legal terms

Rob

getmore4less

The DOV was on the fathers will when he died

that's what I read

Mojisola

Icey77 wrote: »

When Dad died my Mum arranged for a deed of variation so that half of the house would be put into the names of my sister and I and she would retain her half.

Was this done?

Check with the Land Registry - https://www.landregistry.gov.uk/

Icey77

Mojisola wrote: »

Was this done?

Check with the Land Registry - https://www.landregistry.gov.uk/

Right, something for me to do tomorrow. Feels odd though, like I'm checking up on my Mum

Thank you!

Mojisola

Icey77 wrote: »

Right, something for me to do tomorrow. Feels odd though, like I'm checking up on my Mum

You're checking up on whether you are listed as an owner. If you do part-own property, you should know about it!

madbadrob

Can do it online as well for £3

Rob