Selling a house after probate settled

Michela

Hi,
A year or so ago probate ended on a property myself and a sibling inherited.

I paid my sibling for their share based on 3 local estate agents value.
Over a year later I am possibly looking at selling, I have done some work on the property and its now been valued substantially more.
My sibling says if I sell for more than the price I gave them then I will need to pay them some money from the sale 

Is this true?
Thanks 

JGB1955

It's only true if that was the original agreement with your sibling.  Otherwise, if the house is solely in your name, you can do whatever you like with it.  You may need to be aware of Capital Gains Tax if you haven't been living in the house.

AnotherJoe

Michela said:

Hi,
A year or so ago probate ended on a property myself and a sibling inherited.

I paid my sibling for their share based on 3 local estate agents value.
Over a year later I am possibly looking at selling, I have done some work on the property and its now been valued substantially more.
My sibling says if I sell for more than the price I gave them then I will need to pay them some money from the sale 

Is this true?
Thanks 

Only if the agreement you came to was that such an event would come to pass. But I presume there was no such agreement because you wouldn't be asking here ! Hopefully you didn't muddy the waters by them contributing to the work you had done?

So, if no such agreement, then your greedy / unthinking sibling is out of luck. Would they have been banging on your door to give you some money back  had it fallen in price? I'm guessing not.  
  

And said you may be on the hook for CGT unless you've been living there. 

Stubod

Michela said:

Hi,
A year or so ago probate ended on a property myself and a sibling inherited.

I paid my sibling for their share based on 3 local estate agents value.
Over a year later I am possibly looking at selling, I have done some work on the property and its now been valued substantially more.
My sibling says if I sell for more than the price I gave them then I will need to pay them some money from the sale 

Is this true?
Thanks 

..no...

Michela

AnotherJoe said:

Michela said:

Hi,
A year or so ago probate ended on a property myself and a sibling inherited.

I paid my sibling for their share based on 3 local estate agents value.
Over a year later I am possibly looking at selling, I have done some work on the property and its now been valued substantially more.
My sibling says if I sell for more than the price I gave them then I will need to pay them some money from the sale 

Is this true?
Thanks 

Only if the agreement you came to was that such an event would come to pass. But I presume there was no such agreement because you wouldn't be asking here ! Hopefully you didn't muddy the waters by them contributing to the work you had done?

So, if no such agreement, then your greedy / unthinking sibling is out of luck. Would they have been banging on your door to give you some money back  had it fallen in price? I'm guessing not.  
  

And said you may be on the hook for CGT unless you've been living there. 

Thank you. Yes I have been living in the property for several years.
There was no agreement.  That is really good to know.

mobileron

Im amazed you didnt know this,tell the OP to take a walk

Robert_McGeddon

Also bear in mind that your sibling could (should?) have invested the cash you gave him. The original value could have increased just as the value of the house has done. Is he offering you a share of any upside on his half?

xylophone

A year or so ago, you and a sibling inherited a property. No doubt it was valued for probate.

You were living in the property and wanted to stay there - your sibling was happy to accept half the probate value in full  and final settlement of her share of the inheritance.

The house was transferred into your sole name.

That's it and all about it - you owe nothing more to the sibling.

After all, if you had bought a property from Joe Bloggs at £x, renovated it and  later sold it for more than you paid Joe Bloggs, the said Joe Bloggs would have no claim on your profit.

AnotherJoe

Michela said:

AnotherJoe said:

Michela said:

Hi,
A year or so ago probate ended on a property myself and a sibling inherited.

I paid my sibling for their share based on 3 local estate agents value.
Over a year later I am possibly looking at selling, I have done some work on the property and its now been valued substantially more.
My sibling says if I sell for more than the price I gave them then I will need to pay them some money from the sale 

Is this true?
Thanks 

Only if the agreement you came to was that such an event would come to pass. But I presume there was no such agreement because you wouldn't be asking here ! Hopefully you didn't muddy the waters by them contributing to the work you had done?

So, if no such agreement, then your greedy / unthinking sibling is out of luck. Would they have been banging on your door to give you some money back  had it fallen in price? I'm guessing not.  
  

And said you may be on the hook for CGT unless you've been living there. 

Thank you. Yes I have been living in the property for several years.
There was no agreement.  That is really good to know.

Then there shouldn't be any CGT either.