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    • flower105
    • By flower105 14th Apr 18, 3:10 PM
    • 5Posts
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    flower105
    Death of a Landlord and dispute with his family
    • #1
    • 14th Apr 18, 3:10 PM
    Death of a Landlord and dispute with his family 14th Apr 18 at 3:10 PM
    Hello, I'm just looking for some advice.

    My mum's landlord has died and his family wants to sell the house. It get's more complicated than that however.

    My mum originally wanted to buy the house, but was unable to get a mortgage at the time, so a "close friend" said that they would buy the house in his name and eventually it would be hers. So she paid him the house deposit, he got the mortgage. Since then has paid the mortgage amount into his account to pay the mortgage payments. Of course, none of this appears to be in writing and doesn't have a rent book either.

    He died last year, and originally his wife said that it wouldn't be a problem for her to have the house. However, I've just heard that his sons have found out about this house and want to sell the house and get some money out of it.

    She is almost 60 now and is unable to work due to illness so I'm really worried as I am not in a position to help directly and live far away. I really would like to find out if there is anything that I can do, so any help or advice is very much appreciated. Thank you.
    Last edited by flower105; 14-04-2018 at 3:19 PM. Reason: spelling error
Page 1
    • Tom99
    • By Tom99 14th Apr 18, 3:24 PM
    • 2,626 Posts
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    Tom99
    • #2
    • 14th Apr 18, 3:24 PM
    • #2
    • 14th Apr 18, 3:24 PM
    How much deposit was paid, how long ago was that and is there evidence of that payment?

    How does the amount of 'mortgage' your mother is paying compare with the level of rent she might otherwise pay?
    • antrobus
    • By antrobus 14th Apr 18, 3:34 PM
    • 16,024 Posts
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    antrobus
    • #3
    • 14th Apr 18, 3:34 PM
    • #3
    • 14th Apr 18, 3:34 PM
    Hello, I'm just looking for some advice....
    Originally posted by flower105
    Get a solicitor.

    Your argument would be that your mum does not have a landlord. She is the beneficial owner of the property. The 'close friend' merely held the legal title to the property as a trustee.

    Hopefully you can produce banking records to show the payment of the deposit and the mortgage payments.
    • flower105
    • By flower105 14th Apr 18, 8:11 PM
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    flower105
    • #4
    • 14th Apr 18, 8:11 PM
    • #4
    • 14th Apr 18, 8:11 PM
    How much deposit was paid, how long ago was that and is there evidence of that payment?

    How does the amount of 'mortgage' your mother is paying compare with the level of rent she might otherwise pay?
    Originally posted by Tom99
    She paid 5000 for the property in 1994. I think it was bought for 65,000. I'll ask if there is evidence for the payment. It's now worth around 185,000.

    She pays the mortage amout, to pay rent would be around aproximately 4 - 5 times what she pays for a similar house in the area
    Last edited by flower105; 14-04-2018 at 8:16 PM. Reason: typo
    • flower105
    • By flower105 14th Apr 18, 8:14 PM
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    flower105
    • #5
    • 14th Apr 18, 8:14 PM
    • #5
    • 14th Apr 18, 8:14 PM
    Get a solicitor.

    Your argument would be that your mum does not have a landlord. She is the beneficial owner of the property. The 'close friend' merely held the legal title to the property as a trustee.

    Hopefully you can produce banking records to show the payment of the deposit and the mortgage payments.
    Originally posted by antrobus
    I hope she can too. She used to pay cash into the bank account directly, so there should be some kind of receipts. The "landlord" has never paid for anything in the house such as the heating being installed or new windows. Is it worth bringing that up?
    • TrickyDicky101
    • By TrickyDicky101 14th Apr 18, 8:28 PM
    • 3,128 Posts
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    TrickyDicky101
    • #6
    • 14th Apr 18, 8:28 PM
    • #6
    • 14th Apr 18, 8:28 PM
    I hope she can too. She used to pay cash into the bank account directly, so there should be some kind of receipts. The "landlord" has never paid for anything in the house such as the heating being installed or new windows. Is it worth bringing that up?
    Originally posted by flower105
    Yes - as this is evidence of her beneficial ownership. Don't expect this to be an easy process however.
    • Thrugelmir
    • By Thrugelmir 14th Apr 18, 9:53 PM
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    Thrugelmir
    • #7
    • 14th Apr 18, 9:53 PM
    • #7
    • 14th Apr 18, 9:53 PM
    How long does the mortgage have left to run?

    Was the property ownership transfered to the wife on the death of the husband?

    Has the rental income ever been declared to the HMRC? Whatever the informal arrangement agreed between the parties. There's no evidence. Likewise disposal will result in a large capital gains tax bill.

    The only eviction route wil be though the courts. The sons have no say currently. Though if the wife were to die then the situation changes.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • ViolaLass
    • By ViolaLass 14th Apr 18, 10:14 PM
    • 5,434 Posts
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    ViolaLass
    • #8
    • 14th Apr 18, 10:14 PM
    • #8
    • 14th Apr 18, 10:14 PM
    Can she afford to keep the house? Or is this about getting a lump sum?
    • Rich2808
    • By Rich2808 16th Apr 18, 6:28 PM
    • 640 Posts
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    Rich2808
    • #9
    • 16th Apr 18, 6:28 PM
    • #9
    • 16th Apr 18, 6:28 PM
    Of course if this house was worth 65,000 in 1994 it would presumably be worth 500k plus now depending on where it is.

    So there is a lot at stake in more ways than one.
    • maninthestreet
    • By maninthestreet 16th Apr 18, 10:39 PM
    • 15,310 Posts
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    maninthestreet
    Let's hope it wasn't an interest-only mortgage.
    "You were only supposed to blow the bl**dy doors off!!"
    • flower105
    • By flower105 17th Apr 18, 5:16 PM
    • 5 Posts
    • 2 Thanks
    flower105
    Let's hope it wasn't an interest-only mortgage.
    Originally posted by maninthestreet
    It was "interest -only mortgage".
    What kind of difference does it make ? ( except the obvious, that selling the house will be the only way to pay the lump sum)
    Thanks for all your replies
    • flower105
    • By flower105 17th Apr 18, 5:21 PM
    • 5 Posts
    • 2 Thanks
    flower105
    Yes - as this is evidence of her beneficial ownership. Don't expect this to be an easy process however.
    Originally posted by TrickyDicky101
    I googled it, and could not finds much about this.
    Please, can I ask you to explain a little bit more?
    Thanks
    • silvercar
    • By silvercar 17th Apr 18, 6:54 PM
    • 37,769 Posts
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    silvercar
    I googled it, and could not finds much about this.
    Please, can I ask you to explain a little bit more?
    Thanks
    Originally posted by flower105
    Some reading:

    http://england.shelter.org.uk/legal/relationship_breakdown/cohabiting_couples_sole_owner/rights_to_occupy_the_home/beneficial_interest

    www.blasermills.co.uk/even-if-my-name-isnt-on-the-property-deeds-do-i-have-any-rights/

    www.samconveyancing.co.uk/news/conveyancing/beneficial-ownership-vs-legal-ownership-4397
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