Savings for Niece - Apologies for the long story

xylophone

How the house was owned is unclear.

If the house was owned as tenants-in-common, then all three parties owned a designated portion which could be left by will.

Mother predeceased father and the OP - if she was a tenant-in common, then her share should have passed either by will or under intestacy rules.

The same applies to the father.

The OP will need to have regard to these rules if they apply to this case.

If the house was owned as a joint tenancy, then on the mother's death, the ownership passed by survivorship to father and OP and similarly on the father's death.

Therefore, if this was a joint tenancy, the house is now wholly owned by the OP and she can do as she wishes with the sale proceeds.

The 19 year old is an adult - the OP either makes an outright gift or will need to set up a Trust - this has its own tax rules etc.

Land_Registry

Not too sure if this thread is still running as it started with a question re what was the best option for some money derived from a property sale to one re what legal obligations there are.

If the registered title has been updated by removing your sadly deceased parents from the title and the sole owner is now you then you are the legal owner.

As xylophone posted how you all held it, joint tenants or tenants in common, can be relevant here as to the beneficial ownership. And as you refer to your late parents' wishes I assume some agreement was reached to deal with how any monies arising from the sale would be shared.

So perhaps the key question to ask is are you restricted in any way on the legal title in how you can deal with the property - is there a restriction on the title for example? And what arrangements existed with regards the 'shares' you referred to - was there a trust deed or declaration of trust or are you simply acting on verbal wishes re the sale monies?

ca7csu

Land registry was updated, I am now the only name on the Land Registry.


All I really want to know now is, where would be a suitable place be to put the money in? ISA?

Malthusian

Presumably we can assume this means the property was indeed joint tenancy and the issue of Wills / intestacy does not arise - and that legally this is your own money with which you can do as you please.

As to your question: No idea. It is unlikely that cash would be the most suitable home for an investment you are planning to give to the niece in six years' time, but it would depend on your attitude to risk and the likelihood that you might change your mind about what you are going to do with it, none of which we know.

An ISA is just a tax wrapper, it would possibly make sense to use your allowance (especially given, as I understand it, there is no actual Trust involved and you are just planning to hold this money in your own name for six years and then give it to the niece) but you are jumping ahead of yourself by talking about tax wrappers before you've decided how the money should be invested.

If this money is creating acrimony in your family, would it not be better to just follow your mother's wishes, give your brother's share to him, and in doing so wash your hands of it? Whether he follows your father's wishes and gives half or all or none to his daughter sounds like it should be his problem, not yours. Are you your brother's keeper?

Is the middle brother not going to resent being given half, with you effectively hanging on to money that is (according to your parents' wishes) either his or his daughter's but definitely not yours? (Except legally.) With no trust arrangement and nothing to prevent you spending the money or changing your mind in six years' time, that could be how he feels. Particularly when he knows the other brother's had the full sum?