Family Home/inheritance

webcop

Hi need some help
Myself and sister are currently applying for probate on my mums estate that includes the family home. This is to be split 50/50 on sale.
If I was to consider buying it I would need a mortgage to buy out my sister but I'm confused how I would work out the share with my partner? 
I would have 50% in the house already with would be my inheritance and the remaining 50% would be a joint mortgage.

Can anyone please advise? 

No41edwardianhouse

This seems like a question for the solicitor and could be solved through either having the house as “joint tenants” or “tenants in common”. Tenants in common would appear to be the better option for you as you could state exactly what % share of the property you would own and who the other share should pass to should you pass away. I think that’s how you could solve it? 

tacpot12

If you bought with your partner, you would own 50% of the house plus whatever proportion of the equity you had paid off via the mortgage PROVIDING you have a Deed of Trust that says this. Without a Deed of Trust, you would have to go to court to prove what your intentions were when buying the house; this could be costly and your partner might well argue that by not putting a Deed of Trust in place, you were happy to agree a split when the property was sold. 

You would also need to decide if you and your partner would own the house as joint tenants or tenants-in-common. You could hold the house as joint tenants if you were happy that on your death your partner inheritted the house irrespective of whether they were still your partner, or had been unfaithful or started a new relationship with someone else. 

Norman_Castle

You would own 75%, your partner would own 25%.

canaldumidi

* You apply for a joint mortgage for whatever amount is needed: 50% of the probate value less any savings that you or you partner choose to use for the purchase.

* The Executors transfer ownership into your/your partners names as Tenants in Common

* You and your partner pay your sister 50% of the probate value (using the mortgage and/or savings)

* you and your dartner draw up a Deed specifying you own 75% and partner owns 25%

* this asumes you each contribute equally to mortgage payments going forward

* arguably, any future renovation costs, new extension etc should be split 75/25%

Keep_pedalling

Another consideration is how you and your sister choose to distribute the whole estate, it does not have to be 50/50 for the house. For example if the house is worth £200k and your mother also had £100K in liquid assets, your sister could take more or all of the liquid assets, lowering the amount of her buyout which could teduce the amount aof stamp duty that needs to pe paid.