Left The House In My Late Mum's Will But My Sisters Refuse To Sell It-HELP!
Comments
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The mortgage means the buyer has the full amount to pay to the seller. They then pay the monthly repayments back to the bank/building society they borrowed the lump sum from.
Whether they pay cash or get a mortgage won't make any difference to you and your sisters, you get the full amount when the sale goes through.All shall be well, and all shall be well, and all manner of things shall be well.
Pedant alert - it's could have, not could of.0 -
Just one question I want to ask.
The High Court who grated Probate has valued my mother house at £342000 that's 342k.
......
the court does not value the house the executor(s) make a guess and stick it on a form the court do not care what is on the form.
The only organization that cares is HMRC who may want to value it at some point if they think there is some tax to pay.0 -
I'm not sure that you have explained how you know what your sisters want to do if you cannot speak to them. As much accurate information as you can get will be useful later on, but as others have said, the executors can take time to do their job. They can also choose to do so without keeping you informed. Unfortunately there seems little option but to wait, and to use the time to become better informed and prepared to challenge them when the time is right.My 2 sisters do not want to sell the house because my other sister who was living with mum before she died does not want to move out.
No there is no rent to pay because my mothers house is all bought and paid for. And there is no morgage to pay because my mother bought the house upfront and paid the full amount.
And there are no debts to settle because my mother never left any debts.
The sister who lives there does not wholly own the house and therefore owes a proportion of the market rent to the other owners including you. Conversely, you may be liable for a share of some of the costs of owning the house (maintenance, taxes, charges etc, but not utility bills for services the resident uses). These items may also take time to quantify and settle, and as executors they may have the right to determine the rent themselves and eventually pay it out with the rest of the estate - perhaps others could advise on this.
If probate has been granted, any inheritance tax (the first charge on the estate) will have been paid. But again, if you were not in close contact, is it safe to assume no debts?
Ideally the sister who lives there would agree to sell, or would buy the others out (if she needed and could get a mortgage, as others have said, the mortgage company would pay you in full and get the money plus interest back from her over time). Forcing a sale might also entail evicting her.
The lawyers can easily be the overall winners - use them sparingly.0 -
Hi Ann, when people buy a house with a mortgage, a Building Society or Bank loan them the money (not the estate agent) so they can give the full £342,000 to the sellers. That means the sellers (in this case your sisters and you) will get the full amount as soon as the sale is completed - it is normally paid to the solicitor who is dealing with the sale, who then deducts their fees, pays the estate agent their agreed % and passes the remaining balance on to the sellers.
The people who have bought it, then pay their monthly mortgage amount to their lenders (the bank or BS who loaned them the money.)
I hope this explains it for you.
Oh. I didn't know that.
I thought that once you find the house you want to buy. You pay the mortgage yourself out of your wages, per month to the estate agent who sold you the house. The same way you pay rent to a private landlord or letting agent.
I didn't know that mortgage mean't the bank lending you money the same as with a bank loan.
Thanks for explaining that that.
If I was going to buy a place I would rather pay all the money upfront as my mother did.
I see no point in getting a mortgage as you might as well be paying rent.
But I would not get a mortgage anyway because I am not working.
And they don't give mortgages to people on benefits. Even after I get my money from the house I still won't get one as you still have to be working and I cannot work.
So the only way I could buy a place is if I payed for it upfront without a mortgage. But I don't think 114k is enough money to do that.
A one bedroom flat even in the North of England would cost at least 60k and that would eat up most of my inheritance.
So after I get my money from the house I can either stay in my Housing Association flat and pay my £149 a week rent which is £545 a month
Or move though my HA home swap scheme which is difficult, but if I can get a swap with another HA the rent might be cheaper.
Or rent a private flat with a private landlord but the inheritance won't be enough to buy a flat. Not unless I want to use up all my capital but then I will be back on benefits again.0 -
Worth noting some of the differences - when the whole mortgage is paid off (which typically takes 25 years) you own the house and have nothing more to pay, while rent still has to be paid for as long as you live there and you own nothing.I see no point in getting a mortgage as you might as well be paying rent.
This can be a good or a bad thing. If house prices rise, you own something worth more than you paid for it, and also rents may go up but the mortgage payments would not. Though if interest rates go up, so could your mortgage payments while rents may not. If house prices fall your outstanding mortgage might be more than the house is worth, saddling you with an overall debt while a renter could just walk away debt-free. Moving house is more complicated and costly for an owner than a renter. With a mortgage, you could use the 'equity' (the difference between the current price of the house and the outstanding debt left on the mortgage) as collateral for another purpose for which a renter might have difficulty affording an equivalent loan.
Even if a mortgage is not right for you, it is helpful to understand how it works for others who you might be dealing with.0 -
Oh. I didn't know that.
I thought that once you find the house you want to buy. You pay the mortgage yourself out of your wages, per month to the estate agent who sold you the house. The same way you pay rent to a private landlord or letting agent.
I didn't know that mortgage mean't the bank lending you money the same as with a bank loan.
Thanks for explaining that that.
If I was going to buy a place I would rather pay all the money upfront as my mother did.
I see no point in getting a mortgage as you might as well be paying rent.
But I would not get a mortgage anyway because I am not working.
And they don't give mortgages to people on benefits. Even after I get my money from the house I still won't get one as you still have to be working and I cannot work.
So the only way I could buy a place is if I payed for it upfront without a mortgage. But I don't think 114k is enough money to do that.
A one bedroom flat even in the North of England would cost at least 60k and that would eat up most of my inheritance.
So after I get my money from the house I can either stay in my Housing Association flat and pay my £149 a week rent which is £545 a month
Or move though my HA home swap scheme which is difficult, but if I can get a swap with another HA the rent might be cheaper.
Or rent a private flat with a private landlord but the inheritance won't be enough to buy a flat. Not unless I want to use up all my capital but then I will be back on benefits again.
I think you have to accept that you'll be back on benefits eventually, even after getting your inheritance. On a rough estimate (depending how much you get and on interest rates) £117k is likely to last for less than 10 years.0 -
I would look into ways of using the capital without affecting benefits, such as main residence versus savings. Depending on one's attitude, this could be a means to either maximising benefits income or reducing dependence on benefits. Either way, could this be more sustainable than using the inheritance as a stopgap and resuming benefits when it's exhausted? Rigorous advice would be needed to comply with regulations.missbiggles1 wrote: »I think you have to accept that you'll be back on benefits eventually, even after getting your inheritance ... £117k is likely to last for less than 10 years
Also, having used solicitors both to obtain probate and to settle the ensuing dispute, 10 or 20% of this estate could easily be taken in fees, maybe more.0 -
I would look into ways of using the capital without affecting benefits, such as main residence versus savings.
One of the big risks with changing from renting to owning is maintenance.
indirectly housing benefits for rent subsidise the maintenance of the roof over your head, not so easy when you own.0 -
Anna, when you do finally get your inheritence, I think you should go and speak to an independent financial advisor. With the amount of money you're getting, it should be kept in some form of high interest savings account, as you may be able to live on the interest it earns rather than eating up your capital.
Also, that amount of money shouldn't be kept in one bank account as the banks will only guarantee £75K. That means that if the bank goes bust, you would get £75K back, but not more, if there was more in the bank.
I wonder if the charity, Mind would be able to advise you.0 -
Anna, when you do finally get your inheritence, I think you should go and speak to an independent financial advisor. With the amount of money you're getting, it should be kept in some form of high interest savings account, as you may be able to live on the interest it earns rather than eating up your capital.
Also, that amount of money shouldn't be kept in one bank account as the banks will only guarantee £75K. That means that if the bank goes bust, you would get £75K back, but not more, if there was more in the bank.
I wonder if the charity, Mind would be able to advise you.
I'm no expert on savings but I thought that high rate interest accounts are paying around 3%, giving an income of around only £3.5k which won't be enough for the OP to live on, even with DLA on top. It'll obviously last her a bit longer than my back of a fag packet calculation if you take interest into account but I can't see how she can live without using her capital to live on.0
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