Property held in trust and first time buyer!

loulou41
loulou41 Posts: 2,871 Forumite
in Deaths, funerals & probate
Are you still classified as a first time buyer if you have been left a share of your deceased dad property in a trust? Mum owns the other 50%. The trust ends on both death and you will only benefit when both parents died. It is an immediate post death trust. I understand if your name is added to the deeds then you do not qualify. Not sure whether it should be posted in buying and selling forum. Apologies if in the wrong forum. Hope my query is clear. Thanks

Comments

  • Keep_pedalling
    Keep_pedalling Posts: 16,559 Forumite
    First Anniversary First Post Name Dropper Photogenic
    As far as I know, you can no longer be classed as a first time buyer. You may also have to pay additional stamp duty on your first house as well, but worth checking over on the buying and selling board.

    This is one of the things about trusts in wills, they need to be reviewed regularly otherwise changes in the tax rules can have unforeseen consequences down the line.
  • loulou41
    loulou41 Posts: 2,871 Forumite
    Thanks I will post it in buying and selling forum.
  • loulou41
    loulou41 Posts: 2,871 Forumite
    Suppose your parents are still alive when you buy your property. Surely you must be classified as a first time buyer for stamp duty allowance. It will be a different scenario if one of them died when you buy your property. Am I getting muddled?
  • Keep_pedalling
    Keep_pedalling Posts: 16,559 Forumite
    First Anniversary First Post Name Dropper Photogenic
    loulou41 wrote: »
    Suppose your parents are still alive when you buy your property. Surely you must be classified as a first time buyer for stamp duty allowance. It will be a different scenario if one of them died when you buy your property. Am I getting muddled?

    If both parents are alive then the trust will not have be created (and may never be if the wills are changed) so it that situation yes you would be treated as a first time buyer.
  • SeniorSam
    SeniorSam Posts: 1,670 Forumite
    First Post First Anniversary Combo Breaker
    edited 18 April 2019 at 5:28PM
    You are not an owner of that property until the Trust is settled, which may be years away yet. If and when that happens, presumably when the second parent has died, then you may be deemed an owner.
    I'm a retired IFA who specialised for many years in Inheritance Tax, Wills and Trusts. I cannot offer advice now, but my comments here and on Legal Beagles as Sam101 are just meant to be helpful. Do ask questions from the Members who are here to help.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343K Banking & Borrowing
  • 250K Reduce Debt & Boost Income
  • 449.6K Spending & Discounts
  • 235.1K Work, Benefits & Business
  • 607.7K Mortgages, Homes & Bills
  • 173K Life & Family
  • 247.7K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards