Transferring inherited share of property into beneficiary’s name

lebara

My brother died a couple of years ago. He was mid divorce and had made a financial settlement with his wife but it was never completed as he died suddenly a few days later . Because of the settlement he had made his will leaving his estate to his only child ( a 20 year old daughter )
Part of that estate is the house valued at 600k with a 250k mortgage. As it was a joint mortgage she is now responsible for it and it’s an interest only mortgage with no payment vehicle. 

So the ideal scenario would be for the property to be sold mortgage discharged and the funds divided between wife and daughter ( and the executors realise that the wife should maybe have a larger share ) she has offered her daughter 95k as her share ( with a further payment if the mother sells within a certain time frame ) which is not ideal but in order to complete the estate would work. However she keeps putting her head in the sand and delaying things. 

So the question is :-
is it a good idea in the meantime to add the daughters name to the land registry now in order to protect her interest and is that possible with an outstanding mortgage?

also can this be done before the estate is complete? 

Keep_pedalling

If her daughter does not already own her own home it would not be a good idea. She would lose her first time buyer status and if she still owns that share when she dies by her own place then she will be facing an extra 5-8% tax on that purchase depending on which part of the UK she lives in. 

One option would be to take the £95k and place a second charge on the property to protect the rest of her inheritance. Legal advice really needs to be sort here.

lebara

Keep_pedalling said:

If her daughter does not already own her own home it would not be a good idea. She would lose her first time buyer status and if she still owns that share when she dies by her own place then she will be facing an extra 5-8% tax on that purchase depending on which part of the UK she lives in. 

One option would be to take the £95k and place a second charge on the property to protect the rest of her inheritance. Legal advice really needs to be sort here.

I hadn’t thought of that aspect 
thanks I’ll look into it 

Land_Registry

I'm assuming your late Brother and his wife were joint legal owners. If so then it's important to recognise that the actual legal ownership, the property itself, does not form part of his estate. His beneficial share does but IF the decision is made to transfer the whole legal ownership to say his wife and daughter then that would be for the wife to complete. His executor under probate for example would not be able to transfer the legal ownership.
Keep_pedalling's post steers you in the right direction and best for wife and daughter to both get legal advice to understand what the former's legal obligations are as well as what rights etc the daughter has re her late Father's beneficial share (the £95K you mention). And bearing in mind how and when that beneficial share might be realised considering the wife also has a beneficial share