Proving beneficial interest in late mother's house - how?

pkmid

Hi all,

Not sure if this should've been in house buying section or here. Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected. When she passed I carried out probate in 2021. I have no idea how you would prove beneficial interest, they're not being clear on what document will show this. I've given him his share and the house is no longer in our possession, while I wait to hear back does anyone have a similar experience? We didn't change the land registry as it was the intention to sell the house after she passed. I'm boggled and a bit annoyed as I've sent over the will, proof of funds, proof of probate, I'm not sure what else is needed? My brother was 16 when my mum did the will - not sure if that makes any difference.

Keep_pedalling

None of you ever had a beneficial interest in the house, if you did it would lose your brother his first time buyers status. I can’t see what more they need in the way of proof of funds. 

I think this may be be better over on the housing board as this really about a house purchase rather than your mother’s estate. I have reported the thread and hopefully a mod will move it.

pkmid

Keep_pedalling said:

None of you ever had a beneficial interest in the house, if you did it would lose your brother his first time buyers status. I can’t see what more they need in the way of proof of funds. 

I think this may be be better over on the housing board as this really about a house purchase rather than your mother’s estate. I have reported the thread and hopefully a mod will move it.

 Thank you, how strange! No idea what they want then. His FTB status doesn't even apply as the house purchase is in Wales so stamp duty is applicable. Thank you for reporting.

_Penny_Dreadful

pkmid said:

Hi all,

Not sure if this should've been in house buying section or here. Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected. When she passed I carried out probate in 2021. I have no idea how you would prove beneficial interest, they're not being clear on what document will show this. I've given him his share and the house is no longer in our possession, while I wait to hear back does anyone have a similar experience? We didn't change the land registry as it was the intention to sell the house after she passed. I'm boggled and a bit annoyed as I've sent over the will, proof of funds, proof of probate, I'm not sure what else is needed? My brother was 16 when my mum did the will - not sure if that makes any difference.

Are you positive the solicitor is asking for your brother to prove he had a beneficial interest in your late mother’s property? Is that the exact wording the solicitor has used? 

For anti money laundering purposes I could understand why the solicitor wants evidence that your brother was a beneficiary of your late mother’s estate and that the money he is using for the purchase did indeed come from an inheritance. Are you sure that’s not what the solicitor is asking for? 

pkmid

_Penny_Dreadful said:

pkmid said:

Hi all,

Not sure if this should've been in house buying section or here. Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected. When she passed I carried out probate in 2021. I have no idea how you would prove beneficial interest, they're not being clear on what document will show this. I've given him his share and the house is no longer in our possession, while I wait to hear back does anyone have a similar experience? We didn't change the land registry as it was the intention to sell the house after she passed. I'm boggled and a bit annoyed as I've sent over the will, proof of funds, proof of probate, I'm not sure what else is needed? My brother was 16 when my mum did the will - not sure if that makes any difference.

Are you positive the solicitor is asking for your brother to prove he had a beneficial interest in your late mother’s property? Is that the exact wording the solicitor has used? 

For anti money laundering purposes I could understand why the solicitor wants evidence that your brother was a beneficiary of your late mother’s estate and that the money he is using for the purchase did indeed come from an inheritance. Are you sure that’s not what the solicitor is asking for? 

Hi there,

I think he may have said he was a beneficiary which has confused the solicitor but we have submitted a will, probate certificate as well as completion for the house sale so I'm not sure what else would prove it's not money laundering.

propertyrental

Your brother being a 'Beneficiary' of your mother's estate (ie the will said he would inherit something) is totally different to having a 'Beneficial Interest' in the property (ie he part-owned it).

Your mother died. Her property formed part of her Estate, which was controlled by the The Executor (you). The Executor sold her property. Your brother never owned the property and never had a Beneficial Interest in it.

However, once the property was sold and the £ added to the rest of her assets (savings, investments, jewelry, yacht etc), the Estate was wound up and the £ distributed to the various Beneficiaries (your brother being one of those).

The Estate accounts should show the total amount your mother had in her Estate when she died, what was spent by the Executor (eg insuring the property before the sale), what the total Estate was worth when wound up, and how much each Beneficiary (incuding your brother) inheritted.

This should satisfy the solicotor regarding his source of funds.

sheramber

 Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected...................

 I've given him his share and the house is no longer in our possession, 

Is 'the house'  in each statement, the same house?

propertyrental

sheramber said:

 Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected...................

 I've given him his share and the house is no longer in our possession, 

Is 'the house'  in each statement, the same house?

see my explanation above. Your brother never had a 'beneficial Interest' in your mother's house as you sold it before winding up the Estate or distributing the shares to each Beneficiary.

There are 2 houses. One your brother is buying, and which he will own.

The other was your mother's which he never owned.

Flugelhorn

I suspect they are looking for the source of funds - can't understand why they are making such heavy weather of it 

user1977

Flugelhorn said:

I suspect they are looking for the source of funds - can't understand why they are making such heavy weather of it 

If we're getting this third hand then I suspect something has been lost in translation.

pkmid

propertyrental said:

sheramber said:

 Basically my younger brother is buying a house and his solicitors have asked for proof of his beneficial interest in the house. The house was sold by myself (the executor, his older sister) in September this year. I split the proceeds with him as expected...................

 I've given him his share and the house is no longer in our possession, 

Is 'the house'  in each statement, the same house?

see my explanation above. Your brother never had a 'beneficial Interest' in your mother's house as you sold it before winding up the Estate or distributing the shares to each Beneficiary.

There are 2 houses. One your brother is buying, and which he will own.

The other was your mother's which he never owned.

I think you might be under the impression I replied to you but I didn't. I think you're right that he's mistakenly claimed to have beneficial interest not just a beneficiary. His fault entirely then!