SIL wants DH to sign his house over to her!

[Bogeyface]

Which is a) a major pisstake when she wont even acknowledge him in the street and b) imo a bad idea both financially and legally.

But I need confirmation of this to persuade DH we need to see a solicitor, he swings from saying he will do it just to shut them up, to saying he will just ignore their requests.

He bought the house 21 years ago and lived in it for 10 years
He had to move away so his sister moved into the house and rather than pay rent, paid the mortgage directly herself instead.
Mortgage, deeds etc are all in DHs name

As far as SIL and the rest of the family are concerned, as she has paid the mortgage for 11 years, the house is by rights hers and he should just sign it over to her. Now aside from the fact that this would effectively handing over his only asset, worth tens of thousands of pounds, legally isnt it a bit dodgy?

I have always understood it that if you give something like this, or a large sum of money and the person passes away with 7 years, then it is still taxed after death as if the person still owned it? So if, God forbid, anything happened to him I would be looking at a tax bill for thousands of pounds on a house that I wouldnt even own!

I suggested that we offer her two options. Either, he sells the house and splits the profit 52.5% /47.5% in her favour as that is the 11/10 year split. Or she buys him out for that amount.

This will not go down well with his family but as they have only contacted us over the last 3 years either about this issue or to slag us off, it wont make much difference. I am gobsmacked that they genuinely believe he will just give her this house, but that is a whole other thread!

Any advice on this would be greatly appreciated as we will struggle to afford a solicitor so if we could get as much info before we go then hopefully it wont cost as much in appointment times etc!

You have nothing to lose then do you - I doubt giving them their own way is going to improve things so do what is best for you.

That is exactly how I see it.

To answer the Q's:

We do have children and pointing out the implications to me and/or the kids made him think again about just signing it over.

My opinion is that we should either sell it to her or sell it to someone else and split the profit.

I agree that they are using how we feel about DN to their advantage, but we will make sure that she is ok. She has a savings account that we have the details of to pay money into, and we would put a substantial amount in there should we get any money from this.

Yes they are racist but it isnt quite that simple as I am white. Racism isnt just confined to white britishers. It was the racism that caused DH to finally say "enough".

The equity is currently around 65k ish minimum, so not chicken feed. We are on our arses at the moment, due to work issues with DH (he has a job but the company is failing daily) and our income dropping drastically whenI was pg, so the money would really change things for us.

yes, the racist bit makes me veer towards the fuck 'em brigade.
It doesn't matter what colour any of you are, racism always stinks

Doesn't matter what colour you are or dh is ,but how dare they !
Well done your dh standing up to them .
You need the money ...don't give it to them . It's all very well being nice to dn , but would they do the same for your kids , if the situation was reversed ?

I doubt it.

sorry, but can i be rude and ask how much it was she was paying a month? I wouldnt pay her a penny. If she rented somewhere for 10 years the house wouldnt become hers!
shocking behaviour form adults

Google "Kernott v Jones" - a Supreme Court decision that clarified the law recently in this area.

(You'll find my blog on it on p3 of the results!).

Basically, whatever they agreed re sharing the ownership the court will enforce. If the percentages are uncertain, the court since Kernott has the power to work out what a reasonable person would have agreed the interests in the property should be. Advice should be taken for an asset this large.

Get legal advice.

But morally, I don't think there's any point in signing over the house or even half of it.

It sounds to me like he's hoping for some kind of redemption with his family, through a very generous gesture. Redemption doesn't work like that. As far as they're concerned, you'll still be the wrong race, and he will still have done the wrong thing in marrying you. He won't be thought of as "the good guy".

You sound genuinely fond of your DN, but you have to consider that as things are looking, DN may inherit from her grandparents, whereas your children will probably not. Obviously I have no idea how much money is involved, but how will your DC feel should their cousin benefit from GPs money as well as a great big chunk of yours?

Maybe she thinks she has "squatters rights" as she has been there 11 years - ....is that what all this is about. Could she have contacted the land registry, and any letters they've sent to your DH gone to that address and she's not passed them on?

I don't think you should just "give it away". Just some thoughts...

1. I'm guessing that the mortgage costs are currently far less then a "fair rent", so she has been getting a good deal.
2. Even giving it away will incur your Dh costs - legal fees, tax, mortgage redemption costs etc.
3. I think your DH should put the financial security of you and your DC above that of his sister.
4. In my experience, when you do something nice for one person, (e.g. a home for your niece) others in the family expect you to be equally generous to them, and when you don't get bitter about it.

Please seek legal advice before making any promises.

I have made an appointment with the property law solicitor at the practice I always use, so fingers crossed they will advise us.

Thank you for confirming that we shouldnt just sign it over, and for pointing out the tax etc problems, as that has helped him realise that it isnt as simple as they are trying to make it out to be.

Please start paying the mortgage directly yourselves

best of luck

Hope it goes well today OP !
Good luck .

good luck Bogey

unfortunately she may have some tenants rights, so getting her out may not be as easy as it should be, good advice to see a solicitor - f**k her and get the right deal for you and yours