A house as a gift

kunekune

You need to see a solicitor, not an estate agent. An estate agent does not have legal qualifications.

I don't think a 3 year old can be the legal owner of the house, it would be "owned" by trustees (ideally there should be more than one), but then there would be a second document saying that it was held for the benefit of your daughter. There would have to be provisions dealing with renting it, later selling it and what happened to any proceeds. Decisions about the house would be made in her interest, not yours.

Setting up a trust is not an amateur job, it has to be done properly otherwise the tax office/benefits people may conclude that it is really your house, and that would, as you say, affect all kinds of things.