More of a WWYD re inherited house

[Pbbananabagel]

So my Sibling and I inherited a house from our parents which they have been living in for the last few years.
with the cost of living crisis obviously money is tight for both our families and I am now desperate to either sell to be honest as it would be a life changing amount of money at present.
my sibling obviously has no intention of leaving but says they cannot buy me out at present due to lack of finance herself but this is really impacting on my family of 4 whereas they only have themself and partner to think of as child is significantly older and at Uni now. They pay all bills and maintenance on the house and I’ve never wanted to demand anything more but I feel like I’m being taking my a mug now.

aibu to be really frustrated? I don’t want to piss them off as they’re the only family I have now but I really need to figure out how to move this issue forward.

OP,

When I suggested seeing a solicitor on p1 if this thread, most of the reason was because of what I wrote but I did also wonder about probate.

I have just done some searching and it appears that if your DM was the only living person on the title of her house then her estate is required to go through probate. Please don’t take my word, or blindly follow anyone who says probate is unnecessary. A solicitor can tell you for sure.

The executor of your DM’s will should be administering the settlement of the estate, including making sure you have access to your share. If your sister or her DH is the executor, your solicitor can advise you about conflict of interest which will interest the court very much in this case.

I know money is tight but you are entitled to half a house! Many solicitors will give a free 30 minute consultation and a number will take payment after settlement. You really need one.

Who was the executor? It's this job to make sure that wishes in the will are carried out. We're in a similar position with MiL's house but DD is living rent few as they'll be clearing the house and doing any DIY that needs doing.

Nowadays when someone dies and you go to get the death certificate you are registered for “say it once” or “tell it once” which means that all things linked to government are notified, such as pensions, driving licences, council tax etc. So usually they will be aware at the local council. They have suspended council tax on my dad’s house and are paying his winter fuel payments until probate goes through. So in this case the sister could be doing very well out of living in the house!

OP I think you need to take legal advice- tell your sister that you are going to, and that it might cost her money financially too if she continues to sit in your share of the house refusing to sell or buy out. Life doesn’t work like that. She will have to buy something else with her share of the proceeds. That may mean living in a smaller property, but that’s life. (and hello from another coffee van owner!)

I am pretty certain my sister and dad have this ‘plan’. She and her bf rent and can not afford their own home. My parents Will is split between my dsis and I. My mum has Alzheimer’s and dad doesn’t cope very well, even at these earlier stages of the disease. He keeps hinting to my sister that she and her bf are welcome to come and live with them and they should give up renting. My sister has said to me that dad wants to move them in and they will probably do so (she will still expect me to go in and help my parents the 5 days a week that I currently do, as she works FT). If this scenario occurs and my parents eventually pass I know my dsis and partner will never move out. I don’t know what the answer is op but I think you should get legal advice.

They have suspended council tax on my dad’s house and are paying his winter fuel payments until probate goes through

I didn't know they continued to pay the winter fuel help, but thought council tax was still levied on empty houses - though possibly at a reduced rate depending on area?

I think Soontobe60 was meaning maintaining the house. Stuff that goes wrong like a leaky tap or clearing the guttering.
Bills are something else but things were paid a year in advance before Soontobe60 took over the house

Can't they get a mortgage for half the value of the house and buy you out? That way they can stay in the property and you have a chunk to pay off your own mortgage.

Gosh no, I'm not suggesting she go for backnrent at all, but having the figure would be helpful as it has gone on for several years and she is still claiming things are tough.

Living rent/morgage free is a very lucky position to be in and she has done this for several years now.

I suggested it to give the OP a fuller picture.

She moved home for a couple of months?
2 or 3 months?
So a six month period would have been a very reasonable stay to gather herself and to prepare for the houses selling.

Renting as a couple is hugely easier to do than for a family IMO.

I think it is important your mum's solicitor is contacted.

As @Mummyoflittledragon rightly points out, the longer this is allowed to continue, the more difficult it may become.

I think a paper trail is import to create to indicate previous conversations where you have asked that this situation be resolved.

Your sister may hope her persistent refusal to leave causes you to give up!

Equity release should allow them to release your interest/share of the property and would leave them to pay a mortgage to the bank on the released amount, which seems fair enough? Often happens in divorce cases where one party wants to be bought out, but the other wants to remain at the house.

Can't they get a mortgage for half the value of the house and buy you out?

OP said her sister couldn't afford to do this, though whether she really can't or just prefers not to while she's enjoying a free ride is unknowable

Stupidly I only just realised this has been going on for ages - like a fool I read that she'd moved in 2 months before the mum died but didn't twig that was years ago

Nice work if you can get it

They've been living in it for a few years now? Rent free?
Crikey. Lucky them.

Who is dealing with the will. And has the house and other assets been through probate which is legally requiired. At some point the ownership of the house will need to be transferred to the new owners. You usually get six months suspension of council tax on an empty house after a death.

Foremost is that you keep the relationship nice.
Family is your most valuable asset.
Suggest that both you and your sister sit down with a mediator to brainstorm an acceptable and fair solution.

Perhaps do that once a fortnight two or three times until all partners also agree and then set it in place with a lawyer.
What is happening now is unfair. The current arrangement has gone on long enough for your sister's kindness to your mother to have been repaid.
Options -
Selling house and splitting proceeds.
All living in house and all contributing to all costs.
Sister staying in house and paying 1/2 rent, 1/2 maintenence and rates costs and all utilities.
Renting house to another entity, sister and you share costs and income.
Short term - lodger or two in two rooms of the house and lodger pays income to you and pays 1/2 utilities, you pay 1/2 rates and maintenence.

Once probate has gone through and the house belongs to someone again, even if it’s empty the council tax will have to be paid, but until probate has gone through it’s kind of in limbo, so nobody officially owns it to pay it..

I was surprised when they wrote to me to say they would still pay my late father’s winter fuel payment, and also delighted as it’s meant we could put a little heat into the house over winter - we were wondering how to afford that when we’re already stretched to the max paying our own bills. And obviously we can’t sell anything to fund the bills until probate goes through..

You need to be firmer in discussing this - and if they won't then see a solicitor and maybe get them to write a letter to see if that focuses their minds to find a way forward.

Ps, I think I’d move in with your sister and live in your half of the house - see if that spurs her into selling it! Let your house out.

Sorry OP but you have already let this situation drag on for years! Why?

Speak to her again and say if she hasn’t vacated by (three months time) you will have to instruct solicitors. Who were the executors and why have they failed to enact the provisions of the will?

They are already stretched just paying bills and maintenance although I would use that to get them to sell as they are clearly struggling in a house that they can’t afford.

I'd say something along the following lines.

Dear sis I really don't want to fall out over this. However, the house belongs to us 50:50 and I have given you six month's grace in view of all the help you gave you mum, but I now need to access my half of the inheritance.

Going forward from 1 April (or whenever you think is fair) and until we reach a long term agreement, we need agree what the current market rate of the monthly rental value is and split the cost - in effect, so you pay me half of what it's worth. We should get three estate agents round to value it for both rental and sale. As with any standard rental, you are liable for all bills whilst you're living there, and we will split any maintenance costs.

The options are obviously either we sell the house and split the value or you buy me out. Please talk it over with [your partner] and let me know what your thoughts are.

Love you

sis

Sorry, I missed the years bit! Definitely send the above and include how long they've been living there rent free. Perhaps add in something to say

As you are aware you've been living there without paying rent for x years. A quick look on rightmove shows that similar properties are renting out for £x a month, so in essence you've had (£x x number of months/2) out of the inheritance. However, I'm willing to move forward from this providing you start paying me rent and we have an agreed date by which time you will put the house on the market or buy me out.

YANBU, obviously. You need to talk to your sister, get an estate agent to view the property and provide a valuation, and then reach an agreement about whether to sell, or alternatively for her to pay you rent, but that's messy so I think selling would be better. If she won't talk to you or agree, you'll need a solicitor specialising in property disputes. See if you can find a collaborative one so it can be resolved with minimum conflict and expense. If you can use mediation or ADR that would help. Obviously court would be a last resort.

Do also be aware that if you are otherwise eligible for Universal Credit (or other means-tested benefit), owning half a property that you don't live in would potentially wipe out any benefit entitlement.

You need to say you need to sell the house. Tell them you can't afford to live at the moment.

They have lived their rent free. So in the meantime they need to pay you half of the going rent (you need to pay half of the maintaince costs )

Get a solicitor

If the sister pays rent you will have to pay tax on it.
You need to sell the house or she can but you out.

If they can't get a mortgage for 50% of the property then realistically they are living in a house that they can't afford.

One potential solution could be that they get a mortgage for what they can afford, pay you the money and you retain an equity stake in the house refecting the portion they can't afford. But I would be careful to make sure that I retained the option to force a sale in the future on the minority stake if I wished, otherwise that equity stake might turn into a long term loan that is never paid back.

The real solution is for them to move into a house they can afford and you both get what you are entitled to, which is half the proceeds of the house.

Hard to say how much your sister has benefited from this, because there is obviously half the market rent which is due to you for the time she has been there - minus the deductions for maintenance. But it could be substantial.

Ultimately the current arrangement is likely to be highly beneficial to her, so don't be surprised if she does not want to go willingly.