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I need some help with Probate
Mrs_pbradley936
Posts: 14,573 Forumite
Hello,
I would like to know if we can sort out a death in the family easily or if we need a solicitor to handle probate and any implications.
Everyone involved is very amicable and nobody is going to contest any thing but let me outline the circumstances.
An elderly man has passed away recently and his wife died two years ago. There are two grown up children and any and all assets are to be divided equally between them. The daughter has always lived in the family home and never owned another property. The son (her brother) is married and has a house of his own. On the death of the mother the mother's share of the house passed to the daughter.
The daughter and her brother want to sell the house and split the proceeds 50/50.
The house is worth in the region of £650K but how do you go about satisfying the probate people? Is it OK to get a couple of Estate Agents round and take an average?
Next I am assuming that the father's proportion of the house is what Inheritance Tax is due on BUT if that is £325K or less is there nothing to pay? Or do you have to add up everything else he might have had? There is not a great deal more anyway to include.
Where do we start?
I would like to know if we can sort out a death in the family easily or if we need a solicitor to handle probate and any implications.
Everyone involved is very amicable and nobody is going to contest any thing but let me outline the circumstances.
An elderly man has passed away recently and his wife died two years ago. There are two grown up children and any and all assets are to be divided equally between them. The daughter has always lived in the family home and never owned another property. The son (her brother) is married and has a house of his own. On the death of the mother the mother's share of the house passed to the daughter.
The daughter and her brother want to sell the house and split the proceeds 50/50.
The house is worth in the region of £650K but how do you go about satisfying the probate people? Is it OK to get a couple of Estate Agents round and take an average?
Next I am assuming that the father's proportion of the house is what Inheritance Tax is due on BUT if that is £325K or less is there nothing to pay? Or do you have to add up everything else he might have had? There is not a great deal more anyway to include.
Where do we start?
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Comments
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Did they both leave wills? Who are the executors? All the assets have to be included in the value for probate. As the value is close to the IHT limit paid for professional valuations at the date of death for both. Was the first will admitted to probate? How was the house owned i.e. Joint tenants or tenants in common?Mrs_pbradley936 wrote: »Hello,
I would like to know if we can sort out a death in the family easily or if we need a solicitor to handle probate and any implications.
Everyone involved is very amicable and nobody is going to contest any thing but let me outline the circumstances.
An elderly man has passed away recently and his wife died two years ago. There are two grown up children and any and all assets are to be divided equally between them. The daughter has always lived in the family home and never owned another property. The son (her brother) is married and has a house of his own. On the death of the mother the mother's share of the house passed to the daughter.
The daughter and her brother want to sell the house and split the proceeds 50/50.
The house is worth in the region of £650K but how do you go about satisfying the probate people? Is it OK to get a couple of Estate Agents round and take an average?
Next I am assuming that the father's proportion of the house is what Inheritance Tax is due on BUT if that is £325K or less is there nothing to pay? Or do you have to add up everything else he might have had? There is not a great deal more anyway to include.
Where do we start?0 -
Yorkshireman99 wrote: »Did they both leave wills? Who are the executors? All the assets have to be included in the value for probate. As the value is close to the IHT limit paid for professional valuations at the date of death for both. Was the first will admitted to probate? How was the house owned i.e. Joint tenants or tenants in common?
Thanks for your reply but I think I am going to give it all to a solicitor to sort out! The son and daughter are executors but they are not very clued up with formal matters which is why I was asked.
With the son, will he need to pay Capital Gains if he owns another house when his father's house is sold?0 -
Mrs_pbradley936 wrote: »
With the son, will he need to pay Capital Gains if he owns another house when his father's house is sold?
Only if his share gains in value more than £11,300 between date of death and date of sale.
To satisfy HMRC the valuation should be done through a RiCS surveyor not estate agents.0 -
it is for the executors to decide not anyone else. Expect to pay several thousand to have it done. The executors have failed in their duty big time. Pity someone else will have to pay.Mrs_pbradley936 wrote: »Thanks for your reply but I think I am going to give it all to a solicitor to sort out! The son and daughter are executors but they are not very clued up with formal matters which is why I was asked.
With the son, will he need to pay Capital Gains if he owns another house when his father's house is sold?0 -
The brother and sister appear to be both the executors and beneficiaries so I'm not sure what the OP's actual involvement is. It will be the executors decision to choose between DIY or solicitors and them, through a reduction in their inheritance, that will ultimately pay if solicitors are used.0
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Quite. The problem is that it seems that the executors have totally failed in their duties. The OP has not said if the first desceased left a will. If they did not then the children will not inherit very much. It is possible that there will be penalties to be paid as well as heavy legal bills. Unfortunately the OP has not given much detail. It might be possible to save a lot if at least some was DIYd.dresdendave wrote: »The brother and sister appear to be both the executors and beneficiaries so I'm not sure what the OP's actual involvement is. It will be the executors decision to choose between DIY or solicitors and them, through a reduction in their inheritance, that will ultimately pay if solicitors are used.0 -
dresdendave wrote: »The brother and sister appear to be both the executors and beneficiaries so I'm not sure what the OP's actual involvement is. It will be the executors decision to choose between DIY or solicitors and them, through a reduction in their inheritance, that will ultimately pay if solicitors are used.
My sister is married to the son! They asked for my help and if it was feasible to do it without professional help.
Having looked at form IHT400 I think my advice would be to have it sorted out professionally but thanks for your help.0 -
Mrs_pbradley936 wrote: »An elderly man has passed away recently and his wife died two years ago. There are two grown up children and any and all assets are to be divided equally between them.
The daughter has always lived in the family home and never owned another property.
The son (her brother) is married and has a house of his own.
On the death of the mother the mother's share of the house passed to the daughter.
So she already owns half of the house?
The daughter and her brother want to sell the house and split the proceeds 50/50.
She would normally end up owning 75% of the house but she wants to give away 25% to her brother?
Will reducing her inheritance give her enough to buy somewhere else to live?0 -
Yorkshireman99 wrote: »Quite. The problem is that it seems that the executors have totally failed in their duties. The OP has not said if the first desceased left a will. If they did not then the children will not inherit very much. It is possible that there will be penaltis to be paid as well as heavy legal bills. Unfortunately the OP has not given much detail. It might be possible to save a lot if at least some was DIYd.
Gosh you must be very astute to glean that the executors had totally failed in their duties from such limited information. Are you available professionally by any chance?
Your spelling could do with a bit of a tune up but other than that you must be raking in the fees from your counsel - I bet you have them queuing up!!0 -
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