Buy my Dads house?.

[fossyant]

It's a bit of a minefield so get advice. Is your dad likely to need care anytime soon ? Nobody knows, but that's a big question.

We're in a situation where SIL want's to move house, would like MIL's house but want's it cheap. Unfortunately, the Council have an 'interest' in the value as she is in a Nursing Home. We can neither sell it cheap, or indeed sell it to her currently. If we sold it, then MIL would be in the situation of entering into a private agreement with the nursing home, and not via the council, so her annual fees go up £20k. So we can't do anything. SIL can have it at market rate if MIL dies, then the Council will take most of the sale value to pay for nursing fees.

 

[gbb]

Maybe similar circumstances could be used similar to a friend of my wifes...house legally signed over to a trust effectively (the occupiers children)
Done by a solicitor, cost circa £3K a few years back.

Original owner then stayed in property for a nominal 'rent'
There may be similarities, it may be a complete waste of time, as above, proper legal advise needed.

 

[icowden]

Someone has mentioned you can't sell the house below market value anymore?.

You can do whatever you like but there are liabilities.
The important question is whether the house is worth more than the inheritance tax threshold ( as you are a child this increases to £500,000 for property as part of the estate)

The 7 year rule states that if the property is worth more than the inheritance tax threshold and you give away your property, and you die within 7 years of doing so then the property is liable for inheritance tax.

Similarly if your dad goes into a nursing home within 7 years of giving away his property, then the council can still force you to sell the property to pay for his care.

You can avoid the 7 year rule if your dad pays a market rent to live at the property, or if you live at the property.

If the house is not worth more than 500,000 then it really doesn't mater as there won't be any inheritance tax to pay.
The roof is going to need to be done whether or not you own the property. I don't quite see how owning it makes a difference to your ability to get the work done?

 

[Pale Rider]

Trying to work out best way to get him a new roof in the short term tbh.

Spot on - all the tax planning in the world won't stop him getting wet when it rains.

I think the first step is a written quote or two for the roof, so you know how much money is required.

Both households appear cash poor, so it may be unrealistic at this stage to add three grand of legal fees to the roof just to make arrangements that can wait for the time being.

Interest rates are still low, so a home improvement loan secured on one of the properties may be the cheapest way of getting the roof money.

 

[keithmac]

It's just come at the wrong time for us to just pay outright for it unfortunately.

I've been round and managed to half sort it out, I have spoken to my roofer and he's come up with a price for a repair, but also says it could do with complete replacement.

I've managed to cut a loft hatch in and get proper access to the inside, all timber looks fine. There is no Sarking Felt, just slate so it must be 1940's build?.

So as a gift I'm looking at £3000 ish solicitors fees, food for thought.