Can my auntie transfer her house to us?

Jenniefour

Keep_pedalling wrote: »

If the plan was to keep the house in good order until the OP could move in and stay in the family home long term I could understand the reasoning, but the original thread shows the motive to be purely one of profit, and as the elderly lady seems in current good health, the plan to me sounds premature and somewhat mercenary.

Couldn't agree more.

Jenniefour

Mojisola wrote: »

According to the other thread, the renovations are so extensive that they will take five years to do - could build a house faster than that! - and then the house will be sold at, they hope, a massive profit.

Indeed. I have made a point of deliberately excluding from my own will a person who would otherwise have been included, had she not had such a mercenary attitude to money and, as a result, treated her own parents very badly.

The last thing Op's aunt needs is to be living on a building site or find herself with no choice but to live somewhere that she wouldn't otherwise choose.

Yorkshireman99

And the attendant CGT or IHT bill. Bonkers!

Pollycat

mum1964 wrote: »

Good afternoon.

My husbands auntie wants to transfer her property to us, but wants to continue living in the property. We are the main beneficeries of her estate.
The property is valued at £650k. At the moment her estate, with cash etc stands at £830k including the house.
We are home owners, and have no mortgage. Husbands auntie is of very sound mind, but is mid 90's so time is not on her side.
What are the financial implications of her transferi g the house to is.

In your earlier thread, there was no mention of the Auntie wanting to transfer her property to you & your husband.
Is this really her idea or yours?

Malthusian

I think I know why the OP wants to get the house in her name now rather than wait for the Will to be read. If I left my estate to my niece/nephew and their reaction was "ok well can you give it to us now so that we can start rebuilding the place rather than have to wait for you to die and sod off out of our new house" I'd be straight back down the solicitors to rewrite the Will.

Not only is it morally distasteful to view oneself as entitled to start using a benefactress' assets in defiance of the fact that she isn't dead yet, it's extremely tax-inefficient as covered above.

euronorris

mum1964 wrote: »

Because the house is left to us, in her will, it needs some tlc, we are more than willing to fund the repairs and modernisation, which would be very expensive, if we fund the repairs etc, we will be contributing to the increase in the value of the house with regards to it.

Your OP suggests she could afford the repairs, if she so chose. House value - £650k. Total estate - £830k (including cash). So she has other capital in the region of £180k.


So, I don't think this is about repairs at all.


This is a poor attempt at trying to avoid IHT or care bills, or both, which could spectacularly backfire on all concerned, your aunt most of all.


Your aunt is still alive, and still living in the house. NOTHING is yours yet, and may not even receive what you think you will if she does end up needing care and happens to be the exception that outlives her statistical life expectancy.

Mojisola

euronorris wrote: »

Your aunt is still alive, and still living in the house. NOTHING is yours yet, and may not even receive what you think you will if she does end up needing care and happens to be the exception that outlives her statistical life expectancy.

I think that's why they are keen to get the house in their name now.

Because they aren't the first to think this way, the loopholes have all been closed and people who try usually end up paying more out - which is good for the taxpayer.

securityguy

Mojisola wrote: »

Because they aren't the first to think this way, the loopholes have all been closed and people who try usually end up paying more out - which is good for the taxpayer.

Luckily, the world of psychology now has insight into people who don't know much about tax, benefits or property law, but go ahead and concoct schemes anyway: https://en.wikipedia.org/wiki/Dunning–Kruger_effect

Margot123

All I am reading in the OP's question is:
Aunty isn't popping-off quick enough.
We want it now.
Google keeps showing me answers from The USA.

Sorry for that but that IS how the question reads...........poor Aunty!

Browntoa

Deprivation of assets , doing this does not evade care home fees if needed down the line

Aunty gets "moved to a nice care home as she cannot cope"

Tax liabilities