Putting house in daughter's name

Grumpy_chap

freccles said:

I'm 70, have my own (no mortgage) terraced house in a crappy area worth approximately 150k on a good day. What are the financial implications (I'm aware of the personal ones) if I transfer the house to my daughter now instead of leaving it to her on my death? She's living with her partner and their 2 teenage children, has a mortgage and both have reasonably good jobs.

I'm getting on now and am thinking about moving into assisted living in the future (maybe 5 years or so)

Where will you live if you give your house away?
What is the objective of giving the house away?
How will you fund care needs / assisted living if required, but you gave away your house?
Have you investigated whether SDLT will apply on the gifted transfer?
Where will your daughter live?  If she will not be living at the gifted house, she will incur a future CGT charge.
If your Daughter splits form her Partner, will the Partner seek to claim a portion of the gifted house value?

Keep_pedalling

freccles said:

Thanks all. No spouse. It was really just an idea to get everything sorted before I pop my clogs. (I'm a control freak). Also yes, with the idea that if I moved into rented accomodation eventually, I might be able to claim something towards the cost

That would be classed as deliberate deprivation of assets, so you would not be able to claim any means tested benefits. If you follow through with you plan to rent an assisted living then you can certainly use some of the equity you release from the sale of your current home to treat your daughter, but you should hang on to the bulk of it to provide long term security for your latter years.

elmer

I recently assisted a lady who gave her house to her daughter, the daughter very sadly died shortly after at an early age and her son in law then evicted her as the house belonged to him, after attempting to charge her rent. She became homeless at 80, and was extremely distressed by the process as well as grief stricken at the loss of her daughter. Please consider all possible scenarios before taking such a drastic step

Exodi

freccles said:

Thanks all. No spouse. It was really just an idea to get everything sorted before I pop my clogs. (I'm a control freak). Also yes, with the idea that if I moved into rented accomodation eventually, I might be able to claim something towards the cost

You can 'get everything sorted before I pop my clogs' by writing a concise will with the help of a solicitor, deciding who will act as executor(s) and informing them, having a plan around where you'll be buried (including purchasing the plot, assuming if you want to be buried), making notes of where your assets are held/possibly consolidating them, and perhaps taking out a funeral plan.

Getting everything sorted does not mean deliberately giving away your assets so we have to pay for your care.

Aside form the audacity of asking taxpayers directly on the best way to fleece them, I'm still of the opinion these threads should be banned.

You can not ask for advice on robbing banks, you should not be able to ask for advice on robbing taxpayers.

Simultaneously while these threads come up every week, people complain about a social care crisis in this country...

Savvy_Sue

As well as a clear will, Lasting Power of Attorney would be a good idea, for both Finance and Property, and Health and Welfare. You don't need a solicitor for those, and it avoids huge problems if you can no longer deal with your own affairs.