Rights re: sale on death?

Mojisola

I'm sure the value of the house has risen a lot in the last 20 years so there will probably be CGT to pay when the house is sold. Factor that cost into your calculations when you assess options.

nebari

Cheeky_Monkey - My mother nor I were never asked for anything, although my Uncle has not really done anything with the flat. He has also let the lease run right down.

Mojisola - CGT on my half (when I obtained from my mother 2 years ago) equates to about 8k in todays market value.

It looks like every avenue I go down, screws me over. =( I can't believe somebody can be locked out like this at every turn.

nebari

Mojisola wrote: »

If I was your uncle's partner, I'd try to stop him changing the ownership; but, if you do become jiont tenants, she could just stay in the house after his death. You wouldn't be able to sell the house without vacant possession and you'd have to spend a lot of money and time on forcing her out.

I'm ignorant when it comes to these things, so excuse my lack of knowledge, but if I owned all of the house, wouldn't I simply have to wait for he to leave the house, then enter the house and change the locks?

This is not me by the way, I am just responding to the suggestion that she would purposely stay in the house after we had agreed the solution, and then ignored it.

nebari

Also, spending time and money on forcing her out (if she stayed in the property) would be better than possibly / probably not being able to get her out at all (as it stands)?

Or is my logic flawed?

Cheeky_Monkey

OP - Maybe, assuming she doesn't change the locks in the meantime :eek:

Alternatively, you might have to go to Court to get a Possession Order but the way things are looking for you at the moment, that would be a hassle worth going through.

Mojisola

nebari wrote: »

Also, spending time and money on forcing her out (if she stayed in the property) would be better than possibly / probably not being able to get her out at all (as it stands)?

You could leave the ownership as it is and, after uncle's death, spend money to force a sale on the house.

DTDfanBoy

Your really need to look at what was specified in your Grandmothers will, if your uncle owns half and leaves that half to his partner I don't see how you be able to force the partner out.

nebari

So to summarise I think I have the following options (ignoring the lease issues):

1. Wait it out, and she sells her half (as I do) on my uncles death. Downside - I believe she is only saying that at the moment and won't actually do it. Possibility / probability that I will never see my half realised.
2. Get her to buy me out - this seems to be the sensible option. Downside - she has already rejected this saying she can't afford to.
3. Buy her out. Downside - Can't get a mortgage as a family member will still be in the property.
4. DOT to transfer ownership from my uncle to his partner, also agreeing that the property must be sold on his death. Downside - Will fall foul of deprivation of capital.
5. Ask my uncle to convert from Tenants in Common to Joint Tenants. Get it agreed in a DOT that I will sell on death and give half to his partner once sold. Downside - she may stay in the property, and then I would need to spend time and money getting her evicted (or wait till she goes out and change the locks)
6. Get her to buy me out (part 2) - I agree to pay the mortgage until my Uncle dies. Downside - Not sure how I would go about this, or if she would be able to get the same mortgage as I would.
7. Start charging rent. May need to do this with a mixture of above. Downside - Further fractured relationship.

Are these all of my options? Which would you go for? Or would it be another not mentioned?

nebari

Mojisola wrote: »

You could leave the ownership as it is and, after uncle's death, spend money to force a sale on the house.

There's no guarantee I could do it though - is there?

Mojisola

nebari wrote: »

[*]DOT to transfer ownership from my uncle to his partner, also agreeing that the property must be sold on his death. Downside - Will fall foul of deprivation of capital.

I don't think there would be any DOC issues with this. If your uncle needed care and his partner was still living in the house, the value of the house would be disregarded so it wouldn't matter who owned it.