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Staving off a potential family dispute

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  • moneyistooshorttomention
    moneyistooshorttomention Posts: 17,940 Forumite
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    Cakeguts wrote: »
    This is actually nothing to do with you. This is between your sister and your father. Your father was the person who made the decision as to what to do with his house to make his life easier. Your sister would have been aware of your father's wishes at the time that he made this decision with you about his future interest in the house so really if she wants a dispute it is with your father not you.

    I think it is to do with OP - ie as well as the father.

    She will certainly have nothing to do with OP regardless come the time if he doesn't make things fair.
  • Sea_Shell
    Sea_Shell Posts: 9,378 Forumite
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    Thanks for your detailed reply. It does help clarify the situation.

    Is your dad putting pressure on you to resolve this? It's going to make for tense living arrangements if so.

    What if you need to move for jobs/schools etc. What if dad doesn't want to move with you?

    Can you afford to "pay off" your sister, to whatever amount?

    I don't envy the position you find yourself in...when all you appear to have done is help keep the family home.
    How's it going, AKA, Nutwatch? - 12 month spends to date = 2.31% of current retirement "pot" (as at end March 2024)
  • Sea_Shell
    Sea_Shell Posts: 9,378 Forumite
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    From your other threads it appears that the house was worth £250k and you took on a £155k mortgage, with £95k gifted equity.

    So if you "did the right thing" you'd have to find at least £47.5k to give to your sister...ouch!!
    How's it going, AKA, Nutwatch? - 12 month spends to date = 2.31% of current retirement "pot" (as at end March 2024)
  • HampshireH
    HampshireH Posts: 4,480 Forumite
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    I can see how an amount like that may be of interested to someone feeling aggrieved

    However points raised above still stand. But it's a big chunk to payback.
  • moneyistooshorttomention
    moneyistooshorttomention Posts: 17,940 Forumite
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    Sea_Shell wrote: »
    From your other threads it appears that the house was worth £250k and you took on a £155k mortgage, with £95k gifted equity.

    So if you "did the right thing" you'd have to find at least £47.5k to give to your sister...ouch!!

    It will have been a while since this happened and so there's a chance that OP's salary has risen enough (whether with cost of living rises or promotion) to take on the extra mortgage necessary to pay the sister her £47,500 (plus allowance for inflation).
  • flammable999
    flammable999 Posts: 114 Forumite
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    Sea_Shell wrote: »
    From your other threads it appears that the house was worth £250k and you took on a £155k mortgage, with £95k gifted equity.

    So if you "did the right thing" you'd have to find at least £47.5k to give to your sister...ouch!!

    The only way I could do that is by taking out a larger mortgage when it comes to re-mortgaging. I was planning to do this next year anyway in order to finally move from a sub-prime to a reputable lender and in order to move from IO to repayment mortgage, especially now that I am married so would be able to jjointly apply with a dual income.

    Or I could leave it in a will. I don't see how my father can leave it in his will unless he is on the paperwork and to put him on the paperwork opens up a can of worms. Very confusing.

    It occured to me also, that if my sister got anything more than my dads original equity, then all I would have received from my dad is debt! (the lender techincally has the home after all). So if they want to play the whole leaving things to children card, then it appears I will have bee shafted,
  • flammable999
    flammable999 Posts: 114 Forumite
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    HampshireH wrote: »
    I can see how an amount like that may be of interested to someone feeling aggrieved

    However points raised above still stand. But it's a big chunk to payback.

    Totally get that POV from my sis even if not necessarily legally entitled to anything. Just dont understand why shes waited ten years to pipe up about it all.

    My dad keeps talking about an "unofficial"document, stating that she could have my parents share when they die, to alleviate her fears about not having any security. I don't know if he is inadvertendly using the wrong term there, but I don't see how any unofficial document will have any standing in anything. If anything, it gives ammo to my sis accusing me of pulling a fast one if she comes after me after my parents pass.
  • Savvy_Sue
    Savvy_Sue Posts: 46,024 Forumite
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    flammable999 wrote: »
    but I have worked out I have paid circa 50k in interest-only payments this last 10 years.
    Hang on, are you saying you have an interest only mortgage? What's your plan for settling that at the end of term? I think that might alter advice on how to settle this.
    Signature removed for peace of mind
  • Cakeguts
    Cakeguts Posts: 7,627 Forumite
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    I think it would be fair to send her a statement of the interest you have paid on the mortgage that she got to save and deduct that from any share of the equity that you give her because after all if you hadnt done this for your father and he had moved out of the house and into a rented property because he couldn't pay the mortgage the chances are that she wouldn't have got anything.
  • Sea_Shell
    Sea_Shell Posts: 9,378 Forumite
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    But your parents don't own a share, officially or not, to leave to your sister. That ship has sailed.
    How's it going, AKA, Nutwatch? - 12 month spends to date = 2.31% of current retirement "pot" (as at end March 2024)
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