Tenancy in Common in will

rainbow143

Hi,

My husband and I own our house tenancy in common. I would like to leave my half to our daughter upon my death. Will she have to change the Land Register and will it have to go through probate in order for her to change the details?

Thank you.

Keep_pedalling

The normal approach to protect your daughter’s inheritance would be to have a will that creates an immediate post death interest trust.

Apart from protecting her inheritance but also protects your husband in the case your daughter divorces, goes bankrupt or dies before him. This is also the most tax efficient way of doing it as does not use any of your NRB or create a potential CGT liability for your daughter on his death.

RAS

Ditto, with bells on.

Owning half a property in which you do not reside has major implications if your daughter divorces, becomes insolvent or claims (edit) means-tested benefits. If she's not already a home owner, she loses first time buyer status and has to pay "enhanced" Stamp Duty to buy her first home.

And it opens her up to CGT which is avoided with an IPDI trust.

Note: Advise her in advance that trusts need to be registered with HMRC and a restriction added to the deeds.

poseidon1

Can only 100% endorse comments by @RAS and Keep_pedalling.

However is there any reason you are doing your will without reference to your husband? What would his will state for his half share? I find it odd you seem to going it alone with this exercise rather than it being an agreed joint endeavour between you.

Are there other factors at play here we should be aware of?