Mums house put in my name

lookstraightahead

Owleyes00 said:

lookstraightahead said:

Owleyes00 said:

How old is your mum?

Deprivation of assets can apply but it is a different story if your mum is 60 and healthy and not likely to need care any time soon, to if she is 80 and already has some needs.

Not all gifts are deprivation of assets, circumstances matter.

Deprivation of assets is not time specific snd us immaterial of age. I suppose the risk is less, but it is still a risk.

My biggest question is why this is happening? Of what benefit is it to anyone? 

Info from which?

When deciding if deprivation was ‘deliberate’ the local authority might look at the following aspects.

• Motive: when disposing of assets, was the main reason to avoid care charges?
• Timing: there is no set time limit, although local authorities are unlikely to investigate too far back. Most importantly, they will look at the time between the person realising that they needed care and the disposing of assets.
• Amount: was the gift a significant amount that would make a difference to your capital limit? The asset would have to be worth a significant amount for the local authority to pursue this action. Giving away a £300,000 property, for example, would significantly affect your total capital whereas smaller gifts – such as giving a £300 ring to a granddaughter – are unlikely to prompt further investigation.

It all boils down to intention. When you made the gift, could you have reasonably known that you might need care? For example, if you fell ill, were assessed as needing residential care, then signed your property over to a relative the following week, that would look suspiciously like ‘deliberate deprivation’.

Therefore I think the OP would need to think about his specific circumstances as to whether or not this is going to be an issue. It is very difficult to say from the limited information we have about his mum.

I agree. We need more info. Not quite sure of what the intention is.

dippie66

My mum is in her late 70’s and is in very good health. She wants to put it in my name so that it is simple to inherit when she dies. She will have the same amount of cash/assets available for my sister to inherit. She likes to be organised and doesn’t want any bother for my sister and I when she sadly passes. The idea for her being in an annex is so that I am there to care for her if/or when needed. 

RAS

Probably not a good idea. Assume you are in your fifties? If mum has a stroke next year, can you give up work and care for her 24/7/365? How will either of you survive?

I used to think these scenarios were about money-grabbing kids, but increasingly it seems they are about parents who want to tie their kids into long-term care at whatever cost. 

There was a guy on here recently who'd been surviving until mum died and his benefits ceased. Only option UTC with a delay for payments and a house in need of urgent repair. 

Mum needs to visit a good solicitor who can arrange a will that is fair to you and your sister. Even more urgently, she needs to arrange POAs, both health and financial.

lookstraightahead

dippie66 said:

My mum is in her late 70’s and is in very good health. She wants to put it in my name so that it is simple to inherit when she dies. She will have the same amount of cash/assets available for my sister to inherit. She likes to be organised and doesn’t want any bother for my sister and I when she sadly passes. The idea for her being in an annex is so that I am there to care for her if/or when needed. 

This would definitely be seen as deprivation of assets then.

You can absolutely, absolutely not guarantee that she won't need care. (No matter how much you might think, as lots of us feel the same about our loved ones, but through experience I know it is impossible to care full time for someone who is so poorly they need professional support).

When or if she does need care, she has no assets, and therefore she has deprived herself, and they could take your house.

You cannot protect her assets for your inheritance.

dippie66

Thank you for your all your information everyone. 

If she buys the house out right now and I then pay her for half of it when my divorce is settled. Then we have both ours names are on the deeds. What happens with regards to if she needs to go in a home then? Would I have to sell our house? In what way can we end up living together and not have to worry about deprivation? 

Mojisola

dippie66 said:

My mum is in her late 70’s and is in very good health. She wants to put it in my name so that it is simple to inherit when she dies. She will have the same amount of cash/assets available for my sister to inherit. 

So what happens when it turns out that you have been given the house and your mother uses all her other assets on care, leaving no inheritance for your sister?

Keep_pedalling

dippie66 said:

Thank you for your all your information everyone. 

If she buys the house out right now and I then pay her for half of it when my divorce is settled. Then we have both ours names are on the deeds. What happens with regards to if she needs to go in a home then? Would I have to sell our house? In what way can we end up living together and not have to worry about deprivation? 

You said she had additional assets, so her share of the house would not be her only means to pay any care costs, so it is unlikely that there would be any call on it. In addition to that if this happened after your 60th birthday the house would not be included in the financial assessment.

One thing that has so far not been mentioned is that the plan for your mother to give you the means to buy the house, risks your sister missing out on her inheritance while you get yours in the form of this property. If your mother did go into care the first call would be on her liquid assets so her potential inheritance could be eaten up in care costs. Whatever solution you end up with she should certainly review her will with a local solicitor to make sure her estate is distributed as she wishes.

You also need to have an up to date will in place to protect your mother in the event that you pre-decease her.

lookstraightahead

dippie66 said:

Thank you for your all your information everyone. 

If she buys the house out right now and I then pay her for half of it when my divorce is settled. Then we have both ours names are on the deeds. What happens with regards to if she needs to go in a home then? Would I have to sell our house? In what way can we end up living together and not have to worry about deprivation? 

You could just live with her? 

getmore4less

Buying joint is probably going to have the least complications

3card

Surely the only way the property would be disregarded would be 1) if the OP was over 60 when Mum goes into care and 2) the OP is actually living at the property as well, not just a co-owner?
I agree i can only see long term problems in their current plans and the sister ending up with a reduced inheritance while the OP is 'alright Jack'