Helping out children financially

Cacran

PasturesNew wrote: »

Imagine if you no longer existed.

If the house had been half bought, you had no more money and were long gone. No "magic money pot".

She'd have to sell it and buy something smaller. Is that an option?

Or are you awash with money and can afford to give both siblings a fresh cash injection each of equal value?

It wouldn't be fair for her to end up with a house twice the value ... as that was never the intention. That wasn't meant to be the plan.

It is already small. My sons house was cheap but took a whole year of making it fit to live in. She couldn't do that with a child in tow. The house she has was all done and fit to move into. We also need to lessen the trauma to our Grandchild.
Our son and daughter are in harmony over the money situation. We can trust them to do the right thing when we are gone. They will both be made aware of what financial help they have had and sort things out from there.
We are strong as a family but we need to keep what we have earned, within it. Everything has been hard worked for.

csgohan4

money and family shouldn't mix, you now have a situation because no deed had been set up, the ex partner is gong to gain from this and you will lose.

iamtati

You better wait when their relationship are totally finished and talk to your daughter. Say you are worried about your grandchild's future.

Mojisola

Cacran wrote: »

Our son and daughter are in harmony over the money situation. We can trust them to do the right thing when we are gone.

They will both be made aware of what financial help they have had and sort things out from there.

Don't rely on this - people can change and they can also be in a position where they can't do the 'right' thing because of benefit claims, etc.

I have an older relative who has passed on differing amounts to his children - everything is documented and signed by both parties so that their eventual inheritances are reduced by their individual advances - everyone will end up with equal shares eventually.

AnotherJoe

Mojisola wrote: »

Don't rely on this - people can change and they can also be in a position where they can't do the 'right' thing because of benefit claims, etc.

I have an older relative who has passed on differing amounts to his children - everything is documented and signed by both parties so that their eventual inheritances are reduced by their individual advances - everyone will end up with equal shares eventually.

Yep, I also I trust my kids to do the right thing, because the will is written such that they have no alternative

xylophone

If you are "awash with cash" and can afford it, suppose you make a gift to your son of a sufficient amount to both equalise the amounts given to him and his sister and enable him to make a loan to his sister of the sum necessary to pay off the mortgage/boyfriend?

For example, suppose you originally gave him £50,000 to buy his home and originally gave £100,000 to his sister to buy hers.

She now requires another £100,000.

You give him £100000 - he lends his sister £100,000 and takes a first charge on her property.

The siblings see a solicitor to set up a formal and legally binding agreement covering the repayment of the loan/* part of the loan as appropriate

Marvel1

Daughter and ex are both adults and should sort out it out themselves.

AnotherJoe

Cacran wrote: »

The reason we didn't want to buy her the whole house was because the house was so much more expensive, almost twice that of my sons.
The reason I am asking is should we own half her house is that my husband is so cross about it all he does not want to pay this money. Thought if it were in our name it would still be ours.

There is a "halfway house" method here which might help your husband. You loan your daughter the money (lets say its half the value of the house but it doesn't really matter what it is) to buy out the ex. The loan is open ended no repayment necessary until the house is sold. There is an agreement to that effect and also you take out a charge against the house. So you "sort of" own it but there's no big wodge of SDLT to pay. This is what I have done with my daughter.

Cacran

csgohan4 wrote: »

money and family shouldn't mix, you now have a situation because no deed had been set up, the ex partner is gong to gain from this and you will lose.

It's okay as there was a Deed of Trust drawn up when they bought the house.

Cacran

Marvel1 wrote: »

Daughter and ex are both adults and should sort out it out themselves.

Sadly it is easier said than done. We love our daughter and grandaughter. They could be without a home.