Buying Family Home

House2019

Hi,

I would like to buy my dads property and we will continue to live together there.

Is there any issue should he pass away after the sale of the home i.e. probate/tax etc.

Then what is the best thing for him to do with the money received put it away /invest or pass it onto my other 2 siblings ?

Thank you.

McKneff

He should put his money in a savings account, then do his will. Hopefully leaving it to all 3 of you.

Why would you think you would be excluded

AdrianC

He can give it away if he really wants, but since I presume this is a scheme to try to take the house out of reach of potential care home costs...

<echoing chorus> Deprivation of assets! </echoing chorus>

House2019

i wanted to reduce/use my third as the deposit, thus reducing the mortgage.

AdrianC

House2019 wrote: »

i wanted to reduce/use my third as the deposit, thus reducing the mortgage.

So your father still has a mortgage on it?

Let's go back a step.

Why do you think it's a good idea for you to buy it?

McKneff

I smell a rat....

xylophone

So your father still has a mortgage on it?

Does the OP mean that he wants his father to sell him the (currently mortgage free) property at 2/3 of its value, thus reducing the amount the OP has to borrow to buy the place?

If father made the gift on condition that he could continue to live there rent free, this could raise "reservation of benefit" from the point of view of IHT?

Once father has been paid for the property he can choose what to do with his money but should bear in mind that if he gives it away there are potentially IHT implications and also that should he require any means tested benefit/care in the future, the question of wilful deprivation of assets could arise.

elsien

There are plenty of issues that need to be considered before he passes away, let alone afterwards.
Do a forum search, it's been discussed many times.