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Legal Help Needed: Transfer of Equity from the sale of my bothers house

Rebecca74
Posts: 3 Newbie

Context; I have lasting power of attorney over my mentally ill brother. He is in hospital at present but we decided to sell the house he lived in prior to his admittance. He cannot go back to living on his own.
The house was put in his name following the death of my mother, but after the sale of the property (if he isn't going to be living in it anymore) the proceeds are to be split between the 3 siblings. Me and my 2 brothers.
Problem: I am not sure where he will go after the mental health hospital and what they are going to use for funding. My brother gets the full PIP payment and Universal Credit - currently suspended but will be re-instated when he leaves hospital.
I need to do this legally and I need some sound advice as the property is only my brothers whilst he lived in it and ii need to ensure the proceeds are split upon the sale of the house.
This is time critical. Thank you
The house was put in his name following the death of my mother, but after the sale of the property (if he isn't going to be living in it anymore) the proceeds are to be split between the 3 siblings. Me and my 2 brothers.
Problem: I am not sure where he will go after the mental health hospital and what they are going to use for funding. My brother gets the full PIP payment and Universal Credit - currently suspended but will be re-instated when he leaves hospital.
I need to do this legally and I need some sound advice as the property is only my brothers whilst he lived in it and ii need to ensure the proceeds are split upon the sale of the house.
This is time critical. Thank you
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Comments
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That clearly should read:
Legal Help Needed: Transfer of Equity from the sale of my brothers house
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I think you're right, you do need legal advice and the best place to get that is from a Solicitor.
If you shop around, you could probably find one that does a free initial consultation.
I'm suggesting this because questions could potentially be asked about why you sold his house when he hasn't got anywhere else to live.
That aside, if he is required to pay for his care, presumably he can use his share of the proceeds from his house sale.1 -
Hi,
You need to see a solicitor (preferably STEP qualified) ASAP with a copy of your mother's will.
I assume that the will created a trust and that your brother was the beneficiary of that trust. I assume that you are a trustee.
By virtue of having a LPoA you need to act in your brother's best interests in dealing with his affairs.
By virtue of being a trustee you need to follow the terms of the trust.
You really don't want to be in a position where you could be accused of not doing either of those things.
Arrange a meeting with a solicitor as soon as possible2 -
Rebecca74 said:Context; I have lasting power of attorney over my mentally ill brother. He is in hospital at present but we decided to sell the house he lived in prior to his admittance. He cannot go back to living on his own.
The house was put in his name following the death of my mother, but after the sale of the property (if he isn't going to be living in it anymore) the proceeds are to be split between the 3 siblings. Me and my 2 brothers.
Problem: I am not sure where he will go after the mental health hospital and what they are going to use for funding. My brother gets the full PIP payment and Universal Credit - currently suspended but will be re-instated when he leaves hospital.
I need to do this legally and I need some sound advice as the property is only my brothers whilst he lived in it and ii need to ensure the proceeds are split upon the sale of the house.
This is time critical. Thank youAs your brother’s PoA you need to act in his best interests. How is giving away 2/3 of the value of his house in his best interests?1 -
I would argue that his house is a home, and in home care could be arrangedDon't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.0
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As others have said, more information is needed and you need speciaslist advice. But going purely on what you have posted:
- if your brother owns the house, then your brother should receive 100% of the sale proceeds
- as POA, you have a duty to ensure he gets what is his - dividing the proceeds 3 ways could easily be seen as a conflict of interest espically if you yourself are benefitting to the tune of 33%!
- Your brother's entitlement to continued Universal Credit and/or other benefits is very likely to be re-assessed on the basis that he has an large lump. I'm no benefits expert but I'm pretty sure if you have more than (£18K?) savings UC is reduced/removed.
- Whereas ownership of a home/property almost certainly does not affect UC (I think) - so is selling wise?
But the whole situation isn likely more complex than the basic facts you've posted.1 -
propertyrental said:I'm no benefits expert but I'm pretty sure if you have more than (£18K?) savings UC is reduced/removed.Whereas ownership of a home/property almost certainly does not affect UC (I think) - so is selling wise?
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Was your brother given a life interest in the property via an immediate post death interest trust?1
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Hi,Keep_pedalling said:Was your brother given a life interest in the property via an immediate post death interest trust?
If there is a trust, the key question would be whether it is a traditional life interest or whether it was tailored to the fact that the brother is ill. In the latter case, the trust might have some unusual features which limit what the trustee can do, even if the brother is no longer able to live there.
Irrespective of the nature (or existence) of any trust, there is a real risk that others (e.g. authorities responsible for her brother's care) will see the OP's role as attorney and their role in selling her brother's property and giving the proceeds to someone else as being in conflict, potentially leaving the OP open to legal action. The OP needs to have a clear understanding of their responsibilities in those two roles and if there is a conflict, to find a way of managing it without ending up on the wrong end of a court case. I certainly wouldn't attempt this without legal advice.
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but we decided to sell the house he lived in prior to his admittance.
What were your plans for his residence once you had sold the house?1
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