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Moving into partner's council property

DF67
DF67 Posts: 1 Newbie
in House buying, renting & selling
I'll be moving in with my partner who has a council property next year. I'm looking to sell my property to clear the mortgage and pass on the profits to my children so they have deposits for their own properties. Is there anything that I need to bear in mind?

Comments

  • Keep_pedalling
    Keep_pedalling Posts: 22,692 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    The main one is will I have enough to buy or rent my own place if this relationship does not work out. The are no tax downsides to gifting your children a deposit. 
  • ripplyuk
    ripplyuk Posts: 2,965 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Don’t sell until you’re on the tenancy agreement for the council property. 
  • theartfullodger
    theartfullodger Posts: 15,981 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Keep_pedalling said:
    The main one is will I have enough to buy or rent my own place if this relationship does not work out. The are no tax downsides to gifting your children a deposit. 
    If you die within 7 years there very  probably will be IHT to look at & likely pay. 
  • theartfullodger
    theartfullodger Posts: 15,981 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 4 December 2024 at 4:14PM
    DF67 said:
    I'll be moving in with my partner who has a council property next year. I'm looking to sell my property to clear the mortgage and pass on the profits to my children so they have deposits for their own properties. Is there anything that I need to bear in mind?
    Is the council OK with this?? Have you an agreement with partner about how things (rent, utilities, etc etc) will be paid for??


    Unless added as a tenant to the tenancy you will be "lodger" & your partner can boot you out, with no reason required, fairly quickly. (And may be reading this...).

    No offence but I'd not pass on all proceeds to the kids straight away: Perhaps a bit, fair shares, but who knows what happens to you, your partner, or what each kid suddenly needs for ????  Way too risky as you plan, IMHO....

    Clearly relationships  never fail or go sour..  Artful, on 3rd "successful" marriage.....
  • Claddagh_Noir
    Claddagh_Noir Posts: 245 Forumite
    Eighth Anniversary 100 Posts Photogenic Name Dropper
    Also, hopefully your partner is happy and aware that they will lose their 25% single occupancy council tax discount. 
  • Keep_pedalling
    Keep_pedalling Posts: 22,692 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    theartfullodger said:
    Keep_pedalling said:
    The main one is will I have enough to buy or rent my own place if this relationship does not work out. The are no tax downsides to gifting your children a deposit. 
    If you die within 7 years there very  probably will be IHT to look at & likely pay. 
    But if IHT did have to be paid it would be the same or slightly less than if no gift had been made, which is why I said it had no negative tax implications.
    The estate would also need to be over £500k for it to be a consideration.

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