Inherited property not sure what to do next

Sharonk1403

Hiya
I need a little bit of help
Basically my dad died 2 years ago and then my mum passed away in january
She left a will which stated the property she owed must be passed on to me and my older sister
There is an outstanding mortgage on the property of 35k
Now we want to keep the house and my sister is living there at present and she wants to get a mortgage in her name so she can pay off kensington mortgage and then own the property herself

There is an executor of my mums will but basically ive done everything that i know needed to be done as executor was happy for me to do so and if i needed her she would be here to help me ive filled for probate which has come through no problem and there is no inheritance tax to be paid
Mum left no money at all so in order to pay off the mortgage we need to take a mortgage out

Now im really confused on this because ive checked on the land registry and the propery deeds still show liverpool city council
So heres my few questions on why ive become stuck
1 do we just apply for a mortgage in my sisters name now that probate has been granted
2 do we need to change the deeds over into our names first
3 is there anything else that needs to be done before we go for a mortgage
4 do we need the executor with us when we go for a mortgage
5 how does the executor pass over the property to me and my sister as stiulated in the will

Ive come on this forum as im trying to get as much information as possible so i know what it is i have to do next
Due to me being the clever one out of me and my sister its left to me to sort put what to do next
I dont want to get a solicitor involved unless i really have to as we want to do this between us as there isnt much money to pay or a solicitor

Hope this is the right place to post and i hope someone can help me as my head feels like its ready to explode 😂😂

Thanks sharon

molerat

The first thing you need to do is find out why the property was not transferred to your parents when they purchased it. Has the executor mentioned any other debts that need paying off which will have to come from the residual equity in the property ?

AnotherJoe

My commiserations
As molerat says first you need to find out why your mothers name isnt on the property.

Once thats sorted, "we dont apply for a mortgage in sisters name", (and you said "we" regards getting a mortgage multiple times),your sister applies for a mortgage.

The money from that would be paid to you, to buy you out.
You will have to get a solicitor involved since there's a mortgage to be paid off and there's a mortgage to be taken out.

Perhaps a family aversion to solicitors is how your mum ended up in a house without her name on it?

Sharonk1403

Thanks for your replies

Im not sure why they property wasnt put into my parents name in the begining as they have remortgages loads of times and had solicitors dealing with it so not sure why its not been transferred into their name

I say we because yes it will be my sister applying for the mortgage however it will be me sitting there explaining everything to her and going to appointments with her as she doesnt understand things as much as i do especially when it comes to jargon and terms and conditions

I dont mind getting a solicitor involved its just there is no money to pay for one so were a bit stuck in that department

My dad died an left mum with nothing he even changed his life insurance to pay the funeral home direct so as not to let my mum have any money from him or his death ... so for the last 2 yesrs mum has been struggling to keep up with payments for the house and other bills and now shes passed away theres no life insurance or money left to pay for things . Im currently not working and my sister works full time but doesnt have any extra as she has finance she is paying for that she took out on behalf of my mum for home improvements

So basically the next step is to get a solicitor and go from there

Thanks for ur help regarding this

Sharonk1403

Also there is no debts apart from the mortgage mum was unsecured debt free when she passed away

AnotherJoe

In that case (lots of remortgages and solicitors over the years) I wonder if it's a leasehold property (most likely very long lease very low ground rent) and that's what you are seeing on the LR website ?
OK fair enough you'll accompany your sister but it's best to be precise, it will be her applying. Don't confuse things, imagine you keep telling the mortgage person that "we" are coming to apply etc.
Have you told mums mortgage co that she has died?

Sea_Shell

Can your sister afford the mortgage payments on a large enough sum to both pay off the outstanding mortgage and to also buy you out of your share??

getmore4less

Is the property leasehold and you have looked a the freehold.

Who is the executor they don't seem to be doing their job

Sharonk1403

Right ive just rang the land registry office and they have said it is registered as freehold to liverpool city council but is down as leasehold to my mum and dad . So they are the registered owners

Haha i can see what you mean now i would have the mortgage advisor really confused .. so it will be my sister applying for a mortgage and me just accompanying her to the appointment sorry my heads fell off with all this its not been an easy 3 months dealing with everything

Yes ive told the mortgage company that my mum has passed away they have said we have 12 months from january to clear the 35k .. which the only way to do this is fory sister to get a mortgage
I have said she doesnt have to buy me out as i have live in my own house and ive said if the house needs to be sold we will split it but if she keeps it on and take a mortgage i want her to just concentrate on paying off my mums remaining mortgage and paying her own mortgage if that makes sense
People have said thatsl what im doing is a bad idea but i know my sister wont screw me over as she doesnt have it in her to do that

Hope this makes sense

Sharonk1403

The executor is my aunty and she doesnt understand things as well as i do
As she hasnt dealt with stuff like this before whereas ive dealt with all my mus affairs for the past 6 years

Sea_Shell

Some other questions, which may help us advise...

What equity is there in the property? What would the loan to value % be?
If you're joint owners, don't you both have to be on the mortgage? You'll need to check this.
Have you discussed what you'll do in the future IF you NEED your equity out?

I really hope this works out for you both.