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GloriousEuropa

Removed for privacy

elsien

GloriousEuropa said:

I have spoken with my father who is about to sell his home as it happens. He said he will give me half the money required to purchase it, as he is about to retire and go travelling for a decade. When he's done he will be of pension age and would like to move next door to me.

Would it be a conflict of interest renting a separate property to my father who would claim housing allowance to help with rent as a pensioner? Especially if he is gifting me money from a house sale 10 years prior?

Seriously? You can’t see an issue with your dad giving his money away to buy half a house, then the taxpayer funding him living there further down the line?

Also try looking up contrived tenancy. 

And if dad is away travelling for years, he may want to read up on the habitual residence test when he returns. 

45002

GloriousEuropa said:

I have a 3 bedroom semi detached home and I'm currently pricing up a new roof. The roofing contractor has said it's best to be rid of the old shared chimney stack between me and the other semi detached property, as they leak terribly. He said I needed to seek permission from the owner of next door first, which is a landlord.

I emailed the landlord earlier today to ask permission and in addition to permitting me to remove the chimney he's notified me he intends to sell the property and has given me first refusal if I would like the house.

As it happens I do want it, but it currently has a tenant who we get along with and would consider keeping as a sitting tenant, but as a tenant she would not be ideal according to the landlord. He could not give specifics but could say she missed several months rent up front, then sorted it with the council to pay rent directly to him, but she has never paid any of the shortfall.

I am speaking to him tomorrow on the phone, but I have some questions:

If I purchase the property, what legally can I do about evicting her? Especially as she is disabled and on benefits. She has her son as living with her but he stays with his grandparents mostly.

Can I purchase the house anonymously so she does not know? I would not want her to feel betrayal and be difficult about leaving.

Is it possible I can stipulate to the landlord he evicts her first before selling so I do not have to deal with the legal ramifications of it?

More importantly, when did the sitting tenant 1st move in, how long have they been living there for.

Do you know what type of tenancy they have ?

.....

greatcrested

This is a mad idea.

Firstly, you clearly have little idea about running a letting business,so before going any further you need to learn about that and decide if it's for you.

Then you need to consider the finance source. Using your father's money is bonkers. For both of you.

Next, you need to look at the business budget. Income generated, capital required, running costs, tax etc.Is it a worthwhile business?

Then consider the tenant. Sounds like not an ideal tenant, but currently it would take you, or the current owner/landlord, between 9 and 15 months to evict her.

All in all, as I said - mad.

As a starting point read

Post 7: New landlords (1):advice & information :see links in next post

Post 8: New landlords (2): Essential links for further information

Post 9: Letting agents: how should a landlord select or sack?

AnotherJoe

GloriousEuropa said:

greatcrested said:

This is a mad idea.

Firstly, you clearly have little idea about running a letting business,so before going any further you need to learn about that and decide if it's for you.

Then you need to consider the finance source. Using your father's money is bonkers. For both of you.

Next, you need to look at the business budget. Income generated, capital required, running costs, tax etc.Is it a worthwhile business?

Then consider the tenant. Sounds like not an ideal tenant, but currently it would take you, or the current owner/landlord, between 9 and 15 months to evict her.

All in all, as I said - mad.

As a starting point read

Post 7: New landlords (1):advice & information :see links in next post

Post 8: New landlords (2): Essential links for further information

Post 9: Letting agents: how should a landlord select or sack?

Why is using my father's money bonkers for both of us?

I don't understand why it's mad because the law states it currently takes between 9 and 15 months to evict her. Does that imply all property investment should cease until this COVID situation is over and the resultant court backlogs have cleared?

It would for me. YMMV.

swingaloo2

I would be looking up 'Deprivation of assets' as well if I were you. According to one of your other threads your  grandparent is giving you £500 a month. 
You really cant see anything wrong with your plan? If I said to you 'Ive paid tax all my life so Im going to give away some of my money and spend the rest and then when its gone you can subsidise me' would you happily agree to do that?

YoungBlueEyes

(What’s YMMV please?)

swingaloo2

I always said that I would not see my dad in  a home. Unfortunatly in some circumstances you dont have a choice. In the end it was what was best for my dad and luckily he had his home which could be sold so that he could have the best quality care that he deserved. You should talk your dad out of this silly idea if you want the best for him in the future.

Grumpy_chap

GloriousEuropa said:

If I purchase the property, what legally can I do about evicting her? 

Can I purchase the house anonymously so she does not know? 

Is it possible I can stipulate to the landlord he evicts her first before selling so I do not have to deal with the legal ramifications of it?

You really need to understand the requirements and obligations of a landlord.

Eviction can only be for the permitted reasons.  Likely to be at least 2 years at present.

You can not buy a house anonymously, but could buy it through an SPV Ltd Co. Which puts you one step away and registered office does not need to be your home address.  Your name will still be traceable through Director details.

You can ask the current landlord to evict.  May not agree.  Still won't be any quicker, unless landlord pays her to leave which will be added to the property price.

Slithery

It doesn't matter what you see as 'wrong'. The legal status is that by gifting you money your father would be deliberately depriving the council to give you a bigger inheritance.
I for one don't want to pay more tax just so you get what you think you deserve...

Shelldean

Deprivation of assets doesn't only apply to care home fees. It also applies to all benefits.
So when your dad has spent his money travelling and wants to settles down next door to you. He may need to claim benefits as he's given cash to you and spent the rest. If he wants to claim housing benefit for instance, they could invoke the deprivation of assets and say no, you have your money away. So we'll work out how much you're entitled to as if you still have it!
Same will apply to other benefits!