PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Buying out husband from property

Options
Hello, my husband and I are separating and he has asked me to buy him out of our house which we own as tenants in common. I am trying to raise the money using lump sums from my pensions. If I can raise the money and get him removed from the deeds would he be liable to capital gains tax on the money I have given him?

Comments

  • tacpot12
    tacpot12 Posts: 9,245 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper
    edited 19 December 2024 at 6:06PM
    Providing he has lived in it as his main home, he won't be liable to CGT or any other tax on the money you have given him. 

    Have you looked into getting a mortgage for part of the money you need to give him. Withdrawing from pensions might allow you to buy him out, but then you will have a very much reduced pension, which is not good. It mightbe better to borrow some money and pay it back from your higher pension. Have you taken any financial advice about your options? 
    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • Hoenir
    Hoenir Posts: 7,742 Forumite
    1,000 Posts First Anniversary Name Dropper
    You might be better obtaining a Pension Sharing Order rather than crystallising the pension to wihdraw cash.  
  • tacpot12 said:
    Providing he has lived in it as his main home, he won't be liable to CGT or any other tax on the money you have given him. 

    Have you looked into getting a mortgage for part of the money you need to give him. Withdrawing from pensions might allow you to buy him out, but then you will have a very much reduced pension, which is not good. It mightbe better to borrow some money and pay it back from your higher pension. Have you taken any financial advice about your options? 
    thank you for your reply. I would be taking my pension 6 years early and my plan is to keep working for those 6 years and put AVC's into my workplace DC scheme. My thoughts are that when I retire I would then sell the property and downsize to release the equity.  I will take some financial advice before I make any final decisions, I am just trying to get my head around everything and work out what questions do I need to ask.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.