Help Please Remortgage Or Interest-Only Equity or something else?

starchild85

dimbo61 wrote: »

Hello,
Welcome to living in London,
You and mum, the baby and your partner will have to get used to living together.
If you sold the property you could move to the countryside, buy a big four bed detached house for £300,000 and have £300,000 in the bank.
Mum could buy a stunning bungalow for £250/300K and have a very nice nest egg to live on.
Why do you have to live in London ?

We want to move out of London in two years time...I have 1 year left of my degree left which I would like to finish.

Also, I am 5th generation Londoner, I do not see myself as having to move out of London!! I know it's arsey for me to say so....but I am worried about being isolated and getting depression again if I am far away from all of my support groups/family/where I grew up.

Also my mums work means she needs to stay in London to make a living...

There is no space for us in the house....my mum, 2 lodgers and we are currently staying in my mums office...not to mention she uses the double front room for her work...so we do not have any private space.

Any tips on what I can say to convince her to sell?

getmore4less

starchild85 wrote: »

Hmmm, doesn't seem to be much maneuver space, I suppose the problem is that my mum doesn't really see the property as half mine and she sees herself as very old and not willing to move. She sees it as only half mine after she dies as opposed to now...

Feeling a bit deflated as there are 2 lodgers living here and because I moved back in unexpectedly I am living in the office...feel like I don't mean very much to my family!

The only option to get her to move would be legally...and I think I have less ground legally than her in this case (she's been on the deeds for 30 years, I've been on them for 2/3).

She has made a potentialy serious IHT TAX error here.

This is quite possibly a gift with reservation and you are liable to CGT assement as well as you have not been living there.

Multiple lodgers also impacts the PRR.

You need expert advice quite urgently.

getmore4less

starchild85 wrote: »

Any tips on what I can say to convince her to sell?

Subject to unravelling the tax mess,

if she sold she could retire.

starchild85

getmore4less wrote: »

She has made a potentialy serious IHT TAX error here.

This is quite possibly a gift with reservation and you are liable to CGT assement as well as you have not been living there.

Multiple lodgers also impacts the PRR.

You need expert advice quite urgently.

It's OK to not live there whilst studying, that I did ask for expert advise on...

What does PRR mean?

getmore4less

PRR private residence relief.

Who is getting the income from the lodgers?

starchild85

getmore4less wrote: »

PRR private residence relief.

Who is getting the income from the lodgers?

my mum....I asked her to share it with me, but she won't!

getmore4less

That is probably creating a gift with reservation situation.

Let_Us_See

You can make up as many reasons as you like for NOT taking action, but your mother's wishes, IHT, CGT, lodgers etc are all masking what you want, and that's to obtain equal residential rights or the sale of the property. Owning 50% provides the same rights as your mother and she cannot dictate to you, but at the end of the day it comes down to how much do you want to achieve your goals?

Perhaps you should start by giving the lodgers notice and maybe your mother will to take you seriously and start reviewing the options?

The ball is in your court.

starchild85

Let_Us_See wrote: »

You can make up as many reasons as you like for NOT taking action, but your mother's wishes, IHT, CGT, lodgers etc are all masking what you want, and that's to obtain equal residential rights or the sale of the property. Owning 50% provides the same rights as your mother and she cannot dictate to you, but at the end of the day it comes down to how much do you want to achieve your goals?

Perhaps you should start by giving the lodgers notice and maybe your mother will take you seriously and start reviewing the options?

The ball is in your court.

Yes, I have just been mulling it over...we have a very rocky relationship and I find it really hard to stand up to her...will have to talk tonight.