Zamo Posted October 16, 2013 Share Posted October 16, 2013 You don't need to sign over your house to your family. You just need to add then to the deeds and have it recorded as a joint tenants ownership. There are two types of home ownership (where there is more than one party). One is called 'joint tenants' and the other is 'tenants in common'. Tenants in common is where you stipulate who owns what share in the property and each persons share forms part of their estate when they died. Joint tenants assume everyone on the deeds has equal ownership. If one person dies then ownership defaults to the remaining owner(s) and is not deemed to be part of the deceased persons estate. This is the case until there is only one owner (no longer joint tenants) when it would be deemed part of the state when the owner dies. If you don't want social services slapping a charging order against your property if you go into residential care then joint tenant ownership may be the answer! It just means that you can't sell the property without the agreement of the other owners... but it also means they can't sell it from under you or remortgage it! Link to comment Share on other sites More sharing options...
Vague_Boy Posted October 16, 2013 Share Posted October 16, 2013 It is all a smoke screen anyhow. I intend to sell my house when I get to 70 and rent a place. I'll pass my cash on to my kids who hopefully will pay my bills as and when that might be required. How long are you planning on living past 70? Look at the current state of play. Rent on anywhere half decent* is around £500 a month minimum. Interest rates negligible or non-existent. Over 15 years you (or your kids) would use up at least £90000 just in rent payments. Hopefully you won't incur any other expenses that require dipping into your house sale fund. * Have a look on Rightmove at what you can rent for £500. Half decent is being charitable. Link to comment Share on other sites More sharing options...
francypants Posted October 16, 2013 Share Posted October 16, 2013 You don't need to sign over your house to your family. You just need to add then to the deeds and have it recorded as a joint tenants ownership. There are two types of home ownership (where there is more than one party). One is called 'joint tenants' and the other is 'tenants in common'. Tenants in common is where you stipulate who owns what share in the property and each persons share forms part of their estate when they died. Joint tenants assume everyone on the deeds has equal ownership. If one person dies then ownership defaults to the remaining owner(s) and is not deemed to be part of the deceased persons estate. This is the case until there is only one owner (no longer joint tenants) when it would be deemed part of the state when the owner dies. If you don't want social services slapping a charging order against your property if you go into residential care then joint tenant ownership may be the answer! It just means that you can't sell the property without the agreement of the other owners... but it also means they can't sell it from under you or remortgage it! This is totally correct. It's called Protected Property Trust. My pensions advisor told me about it just this week. Link to comment Share on other sites More sharing options...
aubreyboyce Posted October 16, 2013 Share Posted October 16, 2013 This is totally correct. It's called Protected Property Trust. My pensions advisor told me about it just this week. I think this is a marvelous piece of advice, and shall definitely look into this. Thank you:) Link to comment Share on other sites More sharing options...
willman Posted October 16, 2013 Share Posted October 16, 2013 You don't need to sign over your house to your family. You just need to add then to the deeds and have it recorded as a joint tenants ownership. There are two types of home ownership (where there is more than one party). One is called 'joint tenants' and the other is 'tenants in common'. Tenants in common is where you stipulate who owns what share in the property and each persons share forms part of their estate when they died. Joint tenants assume everyone on the deeds has equal ownership. If one person dies then ownership defaults to the remaining owner(s) and is not deemed to be part of the deceased persons estate. This is the case until there is only one owner (no longer joint tenants) when it would be deemed part of the state when the owner dies. If you don't want social services slapping a charging order against your property if you go into residential care then joint tenant ownership may be the answer! It just means that you can't sell the property without the agreement of the other owners... but it also means they can't sell it from under you or remortgage it! But it doesn't exclude it from marital breakups or debts if you do it with someone else or other family members. The simplest way is to become tenants in common with your partner. Then bequeath your halves separately in a will.If you inherit from your partner upon death it becomes 100% yours and therefore liable to the normal rules. Link to comment Share on other sites More sharing options...
ccit Posted October 16, 2013 Share Posted October 16, 2013 If someone else is living in the property it is not taken into account anyway, whether it is owned by joint tenants or tenants in common. However, it is a good thing to do and it is very easy - you do not need a solicitor. All that is needed is a letter to the land registry, signed by both parties and that's it. @poppet2 That used to be the case, however the government is so cash strapped these days that they look at people trying to unload their assets as equivalent to fraud. As many people own property these days they will make this top priority, especially when you consider the sums involved. No doubt there will be crack team squads to deal with this. Have you any case histories of this happening? I doubt very much whether they would pursue it if the person was fit and well, with no expectation of needing residential or nursing care when the property was handed over. They would only have a case if the person was ill and there was reasonable expectation that this would soon be required. Link to comment Share on other sites More sharing options...
Anna B Posted October 16, 2013 Share Posted October 16, 2013 According to Sheffield City Council's own literature, if you are going into a care home, you have to nominate 'a family member or friend' to guarentee your payments, and who will pay them if (or rather when,) your money runs out and you can no longer afford them. Considering care homes cost an average of £2.400 a month, and the council will only pay £1,600 a month (and that's only for those with no assetts,) it means the family member will have to find £800 a month to keep an elderly person in a care home. I don't know many people who can afford that out of there monthly wages, so where does that leave people? It's bad enough losing your home to pay for care, but burdening your family as well is the last straw.... Link to comment Share on other sites More sharing options...
willman Posted October 17, 2013 Share Posted October 17, 2013 According to Sheffield City Council's own literature, if you are going into a care home, you have to nominate 'a family member or friend' to guarentee your payments, and who will pay them if (or rather when,) your money runs out and you can no longer afford them. Considering care homes cost an average of £2.400 a month, and the council will only pay £1,600 a month (and that's only for those with no assetts,) it means the family member will have to find £800 a month to keep an elderly person in a care home. I don't know many people who can afford that out of there monthly wages, so where does that leave people? It's bad enough losing your home to pay for care, but burdening your family as well is the last straw.... My bold - Why is it? You're paying for a service, a provision of B&B at the very least. Why should it be free? Link to comment Share on other sites More sharing options...
mikeye Posted October 17, 2013 Share Posted October 17, 2013 This is a disincentive for people to save for retirement. Might as well spend it all while young. Link to comment Share on other sites More sharing options...
caparo Posted October 17, 2013 Share Posted October 17, 2013 How long are you planning on living past 70? Look at the current state of play. Rent on anywhere half decent* is around £500 a month minimum. Interest rates negligible or non-existent. Over 15 years you (or your kids) would use up at least £90000 just in rent payments. Hopefully you won't incur any other expenses that require dipping into your house sale fund. * Have a look on Rightmove at what you can rent for £500. Half decent is being charitable. Is that a fact. Did you know that vintage guitars and similar items increase in value at the rate of 20-30% per annum. So a Fender Stratocaster that had belonged to Pete Townsend (currently fetching £45K) will double in value every 3 years or so. Not only that it would look identical to one you bought off Ebay for £300. For the price of my house I could probably buy another 5 or 6 celebrity instruments with full provenance. I've always fancied a Hendrix & a Clapton. Last year Peter Greens Les Paul changed hands for almost $2 million. Oh the possibilities are endless. I intend living until I'm 100 if I can. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.