If a deal is made outside of court in relation to the family home, can it still be considered a marital asset?

[SummersBreeze]

My parents are a long tíme separated. My father now has huge debt problems. This is due to an alcohol and heavy smoking addiction but he will claim its work related reasons.

There is a deal now being proposed outside of court. Where I pay a sum of money towards his debts and to release the judgement on the home, in exchange for him to sign over the home to my mum.

Once this is done, my mum would like to move with a divorce. Would the family home that will be soon in my mother's name be considered a marital asset? Will my mother need to make further provisions with a divorce? Or will there be a court order made on the family home with a divorce? Even though my father is happy to sign over the home.

I wonder if it would fall into deprivation of assets as presumably he will claim benefits, so tax payers would be subsidising your mother to live in the home by paying benefits to him whereas if he got his share of the home he may be able to fund himself. I can see why you would try to pay him off so the family home is available to your mother and presumably you may inherit in the future. Who has proposed this deal, a solicitor?

OP you got a lot of very good advice on your previous thread. You’re not going to hear different on this one. You need to get independent legal advice from a solicitor not liked to your parents or sibling.

As I said on your other thread it is not as simple as your father signing over his interest to you. There are charges and a mortgage on your home. The charges would have to be cleared in full and the mortgage lender consent to a change in ownership.

For a financial settlement during a divorce, both parties have to give full financial disclosure. Your mother is the only one sitting on assets.

It looks to me like there would need to be a loan to discharge all the secured debt and a new mortgage.

This isn’t going to work.