IHT Done, Probate has been applied for, - Next... Land Registry

sgx2000

Keep_pedalling said:

sgx2000 said:

The ex  was tenants in common - so keeps her half  (they where divorced 12 years ago but still lived in the same house together)

The will say the daughter both get half of his half....

So, when the probate arrives,  I need to contact the Land registry and reassign his half of the property to his 2 daughters....

Easy... You would think...

OMG..  You wouldn't believe the level of bureaucracy  

Anyway... Hopefully when I get started it will become less onerous...

Why are you ignoring what we are saying about a life interest for his ex? Simply transferring ownership could cost the daughters thousands in stamp duty and CGT. 

Sorry Keep_Pedaling
I certainly didn't mean to offend...
If I did I wholeheartedly apologize...

I am not ignoring the CGT & Stamp Duty issue...
I will need to discuss this with both of the daughters who will inherit half of the house

Both of his daughters are in their 50's and almost certainly unlikely to buy a property, but I will mention it and see what they say.

I do however wonder what would happen if they 'fell out' 

I haven't got the will with me at the moment, but the wording was 'from memory'  quite specific that his 2 daughter both inherit 50% each of his half of the house.

Would that leave me liable for not following the will exactly??

(Please be patient.  This is the first time I have had to be an executor...)

Mojisola

sgx2000 said:

I haven't got the will with me at the moment, but the wording was 'from memory'  quite specific that his 2 daughter both inherit 50% each of his half of the house.

If there is a life interest for the widow, his daughters don't actually inherit anything until after her death. 

getmore4less

sgx2000 said:

The ex  was tenants in common - so keeps her half  (they where divorced 12 years ago but still lived in the same house together)

The will say the daughter both get half of his half....

So, when the probate arrives,  I need to contact the Land registry and reassign his half of the property to his 2 daughters....

Easy... You would think...

OMG..  You wouldn't believe the level of bureaucracy  

Anyway... Hopefully when I get started it will become less onerous...

IT does not work like that.

The EX is now the sole legal owner of the property.

They are the one that have to deal with the land registry to get the legal ownership updated to include either the new owners or the trustees if there is a life interest.

if there is no life interest it may be worth reviewing a DOV to create one.

Although that may have IHT implications depending on the value of the ex's estate as there are no transferable nil rate bands.

If the plan is to let the EX live there anyway it can avoid the CGT issues that will come without it.

Also the maintenance needs to be considered.

Keep_pedalling

sgx2000 said:

Keep_pedalling said:

sgx2000 said:

The ex  was tenants in common - so keeps her half  (they where divorced 12 years ago but still lived in the same house together)

The will say the daughter both get half of his half....

So, when the probate arrives,  I need to contact the Land registry and reassign his half of the property to his 2 daughters....

Easy... You would think...

OMG..  You wouldn't believe the level of bureaucracy  

Anyway... Hopefully when I get started it will become less onerous...

Why are you ignoring what we are saying about a life interest for his ex? Simply transferring ownership could cost the daughters thousands in stamp duty and CGT. 

Sorry Keep_Pedaling
I certainly didn't mean to offend...
If I did I wholeheartedly apologize...

I am not ignoring the CGT & Stamp Duty issue...
I will need to discuss this with both of the daughters who will inherit half of the house

Both of his daughters are in their 50's and almost certainly unlikely to buy a property, but I will mention it and see what they say.

I do however wonder what would happen if they 'fell out' 

I haven't got the will with me at the moment, but the wording was 'from memory'  quite specific that his 2 daughter both inherit 50% each of his half of the house.

Would that leave me liable for not following the will exactly??

(Please be patient.  This is the first time I have had to be an executor...)

No offence taken, I was just concerned that you might accidentally cause the beneficiaries an unnecessary tax issue in the future. Making a deed of variation (DoV) to change how an estate is distributed is not unusual, but it is not down to the executor to do that but the beneficiaries any changes affect.

If the daughters choose not to do this then fine, but they do need to know that they have the option. DoVs can be done after you have distributed the estate but have to be done within 2 years of the death.

sgx2000

Mojisola said:

sgx2000 said:

I haven't got the will with me at the moment, but the wording was 'from memory'  quite specific that his 2 daughter both inherit 50% each of his half of the house.

If there is a life interest for the widow, his daughters don't actually inherit anything until after her death. 

Thanks for all the replies...

Again from memory
There is no mention of 'Life interest'  in the will. 

It was a very awkward relationship.  They continued to live in the same house after the divorce. For 12 years!
He, immediately after the divorce,  had a solicitor draw a will and arrange for the title deeds to be changed to 'tenants in common'.   So, the will was probably written during the most acrimonious period of their relationship.  Hence the lack of mention of ' Life interest...

Neither daughter has expressed any desire to move their mother from the property, and I would doubt this will change.  But both seem to be very interested in having their names on the land register....

I will check with the ex-wife tonight as to whether either daughter has bought property in the past... But I doubt it....

Keep_pedalling

sgx2000 said:

Mojisola said:

sgx2000 said:

I haven't got the will with me at the moment, but the wording was 'from memory'  quite specific that his 2 daughter both inherit 50% each of his half of the house.

If there is a life interest for the widow, his daughters don't actually inherit anything until after her death. 

Thanks for all the replies...

Again from memory
There is no mention of 'Life interest'  in the will. 

It was a very awkward relationship.  They continued to live in the same house after the divorce. For 12 years!
He, immediately after the divorce,  had a solicitor draw a will and arrange for the title deeds to be changed to 'tenants in common'.   So, the will was probably written during the most acrimonious period of their relationship.  Hence the lack of mention of ' Life interest...

Neither daughter has expressed any desire to move their mother from the property, and I would doubt this will change.  But both seem to be very interested in having their names on the land register....

I will check with the ex-wife tonight as to whether either daughter has bought property in the past... But I doubt it....

Although they might not have had the means buy a house in the past, they very well might want to do so if they also inherit their mother’s share of the house. Also their mother’s long time security is at risk if either daughter runs into financial difficulty, divorces or pre-deceases her. 

It would be in all their interests to implement a life interest through a DoV, but that is down to them rather than you.

Mojisola

sgx2000 said:

Neither daughter has expressed any desire to move their mother from the property, and I would doubt this will change.  But both seem to be very interested in having their names on the land register....

Are they fully aware of the possible tax liability when the house is eventually sold?

Land_Registry

Others are rightly covering the fact that there are options to consider here before applying to update the land register. 

Whilst we will update the register on application that’s only if applied for and in some cases only the update re the death is applied for. 

IF they decide to transfer it into the daughters names then as mentioned the surviving joint owner would do that to herself plus daughters 
https://customerhelp.landregistry.gov.uk/guide-page-external/?stepid=c48ca216-8d82-eb11-a812-000d3ad48f95&kbonly=true&setanswer=
Probate is not required to deal with the property as it does not form part of his estate as mentioned. You may of course need it for other reasons 

getmore4less

woops.
missed pointing out that additional bit of information the LRrep kindly added on top of the existing remaining owner is the one that needs to be doing this.

Probate is not required to deal with the property...

sgx2000

Land_Registry said:

Others are rightly covering the fact that there are options to consider here before applying to update the land register. 

Whilst we will update the register on application that’s only if applied for and in some cases only the update re the death is applied for. 

IF they decide to transfer it into the daughters names then as mentioned the surviving joint owner would do that to herself plus daughters 
https://customerhelp.landregistry.gov.uk/guide-page-external/?stepid=c48ca216-8d82-eb11-a812-000d3ad48f95&kbonly=true&setanswer=
Probate is not required to deal with the property as it does not form part of his estate as mentioned. You may of course need it for other reasons 

Many many thanks for the reply....  (at this point I am finding this a tad baffeling )

A lot to think about here...
A lot to try explaining to the ex-wife an daughters...

Interesting that the change to the title can be done by the ex-wife....
Would this be easier than me, the executor, doing it?  (If that is what they decide)