Property trust enquiry

Savvy_Sue

rachelleigh73 said:

Savvy_Sue said:

There is a difference between "putting your home into a trust" and having a "deed of trust" - the latter sets out the shares in which a house is held. 

For example, we bought our house with a friend: he used to own half of it, now he owns 12.5% and we have a deed of trust which sets this out. When we sell, he gets 12.5%. 

It sounds as if you need the latter too. 

Thanks Sue - we currently have an informal written agreement - but think we will take the opportunity to get it on a more formal footing - appreciate the advice!

Agreed, ours is written up by a solicitor.

RAS

And is it a joint tenancy or tenants in common?

If it's the former, if either of you dies, the other becomes the sole survivor and owner.

rachelleigh73

Lots to think about - thank you to everyone who responded! 😊 

theoretica

I suspect you want to think about various scenarios separately before deciding if one solution will work for them all.

1) Death - this can be covered either with a joint tenancy or wills. The will can give someone a lifetime (or until youngest is 18/21) interest in the property.  They can let the survivor sell and use the money to buy a more suitable property. 

2) relationships changing - any of the three adults could have life changes and want to move.  Or want to move other people in.  Or some of you want to move and buy somewhere else and others not...