Buying a house for my grown up child

00ec25

idrankthecoolaid wrote: »

Can anybody advise?

setting up a residential property holding trust to evade business debts and possibly future inheritance tax is not a DIY job

you need to talk to a solicitor (not an accountant), and one who is versed in the above, not just "a" solicitor

da_rule

Under the Insolvency Act, a creditor can obtain an order for assets transferred (including the transfer of money into a trust) to be recoverable as if the transfer did not happen where the purpose behind the transfer was to put the asset out of the reach of the creditors.

How likely is it that the business is going to collapse? I also assume that this is a partnership and not an LLP or an incorporated company?

The three options are:
1) Gift your inheritance to your daughter and take the risk;
2) See if you can get a variation to the will to divert the gift to your daughter;
3) Loan your daughter the money (potentially secured with a charge over the property, subject to any mortgage lender's approval). However a creditor could take over the debt and enforce it against your daughter, which may include obtaining an order to sell the property.