We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
We're aware that dates on the Forum are not currently showing correctly. Please bear with us while we get this fixed, and see Site feedback for updates.
Inheritance share of a property in trust and UC

marywooyeah
Posts: 2,670 Forumite


Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
0
Comments
-
marywooyeah said:Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank youRe the property was your Dad the sole registered owner or were they both? You may not be asking about the property though and focussing on the UC impact - if so then no need to reply re property ownership“Official Company Representative
I am the official company representative of Land Registry. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"0 -
hi - my brother told me that the house was owned in joint names as tenants in common. thank you0
-
marywooyeah said:hi - my brother told me that the house was owned in joint names as tenants in common. thank youMost TIC owners apply for what’s known as a form A/joint ownership restriction - that protects their beneficial ownerships, for example their wills and the trust(s) created.
If there’s a form A restriction on the register then the only update would probably be to remove Dad’s name as deceased.If the property is to be transferred for any reason, then that would be by the surviving owner and not his executor/beneficiaries
https://www.gov.uk/joint-property-ownership“Official Company Representative
I am the official company representative of Land Registry. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"0 -
marywooyeah said:Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
Your expectant interest in the trust of the property, has no value for IHT purposes, and of course you have to survive your step mother to get it in any event.
What I find curious here is your brother's decision ( ?) to vary your father's expressed desire that all five of you eventually receive the entirety of his 50% share in the property.
From what you have said, that intention has been substantially watered down by your brother so you five will only get a 25% stake in the property on stepmother death, with the remaining 25% passing into stepmother estate to be distributed under the terms of her will ( ie her estate receives 75% of the property whilst the remaindermen get 25%).
Did i understand what you said correctly? If so, curious as to the thinking behind this dilution of your future inheritance, and if this was all agreed by the five of you.0 -
poseidon1 said:marywooyeah said:Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
Your expectant interest in the trust of the property, has no value for IHT purposes, and of course you have to survive your step mother to get it in any event.
What I find curious here is your brother's decision ( ?) to vary your father's expressed desire that all five of you eventually receive the entirety of his 50% share in the property.
From what you have said, that intention has been substantially watered down by your brother so you five will only get a 25% stake in the property on stepmother death, with the remaining 25% passing into stepmother estate to be distributed under the terms of her will ( ie her estate receives 75% of the property whilst the remaindermen get 25%).
Did i understand what you said correctly? If so, curious as to the thinking behind this dilution of your future inheritance, and if this was all agreed by the five of you.0 -
marywooyeah said:poseidon1 said:marywooyeah said:Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
Your expectant interest in the trust of the property, has no value for IHT purposes, and of course you have to survive your step mother to get it in any event.
What I find curious here is your brother's decision ( ?) to vary your father's expressed desire that all five of you eventually receive the entirety of his 50% share in the property.
From what you have said, that intention has been substantially watered down by your brother so you five will only get a 25% stake in the property on stepmother death, with the remaining 25% passing into stepmother estate to be distributed under the terms of her will ( ie her estate receives 75% of the property whilst the remaindermen get 25%).
Did i understand what you said correctly? If so, curious as to the thinking behind this dilution of your future inheritance, and if this was all agreed by the five of you.marywooyeah said:poseidon1 said:marywooyeah said:Hello,
My father passed away last year and left the house in a trust which provides that my stepmother continues to live in the house as a life tenant and is entitled to 50% of the house, and the other 50% will go to me, my three brothers and another third party when the house is sold after my step-mother dies. One of my brothers is dealing with the probate and has in the last few days stated that a second trust will be set up so that our collective half share of the property will go into a trust so that when my step-mother dies and the house is sold we will each receive a one fifth share of half of the proceeds of sale, with the other half share to be passing in my step-mother's will as she wishes, and that something will be done at the land registry to show that we are entitled to 50% of the property but I'm not sure of all the terminology and ins and outs of the process.
I receive the carer's element of UC as I have two disabled children and am now worried that this will be classed as owning capital, when in reality I have no way to access any of this money or share of the property as it will be in a trust until my step-mother dies, which could be another 30 years or so as she is only in her late 50s.
I would be very grateful for any advice. My dad never discussed anything with me about his will or what would happen with the house so it's all come as a shock on top of his death.
I asked in the benefits board about this and was advised to post here. Thank you
Your expectant interest in the trust of the property, has no value for IHT purposes, and of course you have to survive your step mother to get it in any event.
What I find curious here is your brother's decision ( ?) to vary your father's expressed desire that all five of you eventually receive the entirety of his 50% share in the property.
From what you have said, that intention has been substantially watered down by your brother so you five will only get a 25% stake in the property on stepmother death, with the remaining 25% passing into stepmother estate to be distributed under the terms of her will ( ie her estate receives 75% of the property whilst the remaindermen get 25%).
Did i understand what you said correctly? If so, curious as to the thinking behind this dilution of your future inheritance, and if this was all agreed by the five of you.
Clearly no need for a second trust at all, since the outcome you now confirm seems to have been the original terms of your father's will. However, hopefully covered your continued entitlement to UC satisfactorily ( at least as far as your expectant in the trust is concerned ).
0 -
Hi Poseidon - I am still not clear on the UC position - what I need to know is whether I will still be able to receive UC or whether this will be classed as owning capital for UC purposes. Thank you0
-
You own nothing until your step-mother dies, the house is sold and the cash is paid out to you.
2 -
I agree with the above. You don't own the house NOW or any share of it so it does not affect UC.
But a new trust IS needed to redesignate the 50% share of the property. I am currently in the process of sorting one as my husband died, so I am in a very similar position to the OP's stepmother.0 -
Newly_retired said:I agree with the above. You don't own the house NOW or any share of it so it does not affect UC.
But a new trust IS needed to redesignate the 50% share of the property. I am currently in the process of sorting one as my husband died, so I am in a very similar position to the OP's stepmother.0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 348.3K Banking & Borrowing
- 252.1K Reduce Debt & Boost Income
- 452.4K Spending & Discounts
- 240.9K Work, Benefits & Business
- 617.2K Mortgages, Homes & Bills
- 175.7K Life & Family
- 254.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 15.1K Coronavirus Support Boards