Signing House over to DC

[TrustHouse]

Does anybody have experience of doing this?

I have one adult DD and have a small mortgage left on my house. It is nowhere near inheritance tax territory. We are talking under £100k.

Once I pay my mortgage off I would like to sign the house over to DD.
Or put it in trust for her, not sure how it works. We will still be living in the house. The property is in my name only.

Will this cause issues in the future if she wants to buy a property herself?

What would be the issues if I just added her onto the deeds?

I just want to ensure that whatever happens to me, my DD will keep the house.

Any advice would be appreciated.

I'm glad I asked the question though.

It has been very enlightening!

I only thought of it as a friend was 'gifted/trusted' a third of her parents home many years ago (along with her siblings). She was still able to get a mortgage and it didn't come up as an issue during her divorce.

I think this is correct but you must take legal advice about it.

The outlaws put their house (where they still live) in trust for DP and his sister -I don't know the ins and outs but I think it means they can't be forced to sell it for care home fees, so win win.

Many years ago my parents transferred 50% of their house to me and dsis, I think to avoid inheritance tax as it's likely to be worth a decent amount...I don't know anymore than that and haven't even thought about it until today, but hasn't affected any mortgage I've applied for...

To lessen inheritance tax it’s much easier to sell the property and downsize. Then give away the proceeds 7 years or more before death. The DC May pay CGT if they sell. There isn’t any foolproof way to avoid tax other than giving money away 7 years before you die!

Don’t get married. Don’t put your DD on the house. Take legal advice.

to those saying don't get married, I think op ialready is married.

I thought if you gifted something but still get benefit of it, like living in a house, for tax purposes it is still deemed yours.

It’s not True at you can give your home away to your children and expect the taxpayer to pay your care home fees. The local authority can go back without limits of time if you have done this and consider the property you have given away as part of your assets.

The seven year rule only applies in respect of inheritance tax and doesn’t apply where you have reserved a benefit (ie lived in the property without paying market rent).

So no benefits other than you could put the house beyond the reach of your spouse.