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Mum dying of cancer - gifting house.

Hello, my mother is ill and wants to transfer the deeds of the house into my name (I am her only child) she lives in the property with my stepfather. 

 

She has paid off the mortgage and is the sole owner. My stepfather has not contributed financially nor is her on the deeds. 

 

We are aware it is possible to transfer the deeds to my name so I will be the legal owner. She doesn’t want my stepfather to inherit it. 

 

A solicitor advised us that he could take it to court after she passed as he has beneficial interest. 

 

My mother also doesn’t want to make a clause that allows him to live there until death as this will mean my hands are tied and I cannot sell it if I needed too or rent it out etc.

 

He doesn’t work and is in on a pension and is very irresponsible with money and he would also struggle to pay the monthly bills anyway.

 

I am aware that if the house is transferred to my name and I am the sole legal owner he could still take it to court if he wanted to. My understanding is that it would cost ALOT of money to do this, and he is pretty much skint. Especially if I defended it. I personally don’t think he would contest it but anything is possible. 

 

So my main question is, what is the best way to safeguard that the house will be mine, transferring it to my name now or leaving it in the will? I understand neither way is watertight, BUT which is the better option of the two? OR is there another way of doing this that’s better? 

 

Some points to consider if they hold any weight at all. 

 

My mother will leave him some money in her will.

 

He has never contributed to the mortgage which my mum has paid off.

 

As bad as it sounds he has never contributed to the running of the house, paying for bills etc. In fact he often got in debt with his credit cards from irresponsible purchases.
 

sorry for the long post and thank you for any advice etc in advance. Kind regards.

 

 

 

 

  • You may find that it goes smoothly and your stepfather doesn't contest anything, but equally it could turn messy and the best person to advise is a solicitor.

    Also ask a solicitor or accountant about inheritance tax, because if a large gift is given and the donor doesn't survive a further seven years then there could be inheritance tax to pay on that gift, even though it was made before death. These gifts are called "Potentially exempt transfers", if you're wanting to look it up yourself.

    In my completely non-expert opinion, the smoothest path would be if your mother and stepfather first moved out of the house into other accommodation, then later your mother gave you the house. That way, she is not kicking your stepfather out of the family home.

  • Thank you for the reply, unfortunately my mum wouldn't move out, especially now as she's so ill. I will just have to hope it goes smoothly, although I can't see where he would find the massive court costs anyway IF he decided to fight it.

  • Hmm. You say that your mother is leaving your stepfather some money in her will. Perhaps a solicitor could advise whether this could be left to him "provided he does not contest the house transfer, otherwise he gets nothing", or some condition like that. But I don't know if the law allows such conditions or not.

  • That's a very good point you've made there! Didn't think of that one. Might have to mention that. Thank you!

  • Hi - this one sounds really messy sorry. First I am not a lawyer but I do believe that marriage allows dependants to claim and courts could take a dim view of the homeless situation that would arise as a result of all this.

    Also what is to stop stepfather engaging a solicitor on a no win no fee basis? Court costs don't have to be massive.

    If he really has no money (so that he couldn't afford to start an action himself - you don't have to use lawyers to start a claim) – it could just be a few thousand to put the claim in and especially if he is deemed to have needs he could get someone to advocate for him (like Shelter if he has been made homeless??)  The only way costs would then be massive is if you tried to force him to pay your legal costs. But I don't think a court would go with that if he has been married to your mother. 

    Your mother is at liberty to pass you the property if she owns it. So yes you can just take the risk. 

    Courts often start from a position of considering basic needs and might well look to cover your stepfather's basic needs if your mother has been providing for him all this time. A third party is more likely to get involved on your stepfather's behalf if he would be made homeless or end up needing housing to be provided by the state. The state don't like to step in and pay where there is other money that could be called up.  The other key piece of legislation to be aware of is Deprivation of Assets where local authorities can claw back gifts - if your mother were to need state care. Age UK have a good leaflet on deprivation of assets. 

    This really is a very complicated situation.

    Hope you get to spend some good time with your mother and make the most of her remaining days.

  • Thank you for the reply, what I can't understand fully is when she transfers the property to me it will be legally mine, I even read that it's so much legally mine that I could potentially (and I would NEVER do this, just using as an example) kick my mum and stepfather out, YET once she dies he can make a claim to a property that she gifted me that is now legally mine anyway! It's crazy. He's sponged off her for years but might be rewarded with a house! One thing is for sure I'll fight it tooth and nail if I need to.

  • Hi again - yes I think the option of you getting the property in advance may give you more rights. Just be aware there may be additional pitfalls beyond those you raised initially, especially were nursing care to be needed in a home at any stage. But then the clawback would be by the local authority not a claim by your stepfather. The issue of gifts is complicated as there can also be inheritance tax clawbacks as someone else flagged up. But ultimately owning house in advance may be best option. Only a solicitor can advise. Be prepared to have him as your long-standing tenant potentially if he has his home of many years signed away without a say in it. Not sure what the legislation is around that one. Has he done any maintenance, fixed any windows, contributed to building structure in any way? I don't know the complexities of the law here. Definitely one for a good legal expert.

  • I think she would probably pass away at home rather than a hospice. My stepfather isn't very assertive let's say, very bury head in the sand type, doesn't even answer the phone because of debt collectors. I would be surprised if he made a claim. 

  • He has done work on the house - not paid for by himself. My mum pays for everything because he is very irresponsible and buys toys he can't afford on credit cars a etc. I think I a good lawyer would run rings around him.

  • I also don't know how he will run the house. The gas and electric would get cut off because he hasn't got the money.