Buying a house for half its real value

[onlyinSpain]

My father inherited a flat from his parents decades ago. He has rented it to private tenants for years.

He lives in a different house and has a third house in a touristy part of England that he sometimes goes to stay in. The flat is in London and I am currently renting there and my job is here too.

We are not close (long story) and I didn't see him for most of time of my childhood. But he has contacted me to say he wants to sell me the inherited flat - and wants to do so at less than half what it would get on the open market. Eg 300k rather than 600k.

He is being very cagey about the reasons why and (long story short) I'm not sure it's entirely out of concern for me. And if I ask him, he won't tell me the truth : he has a long history of not being straight.

But of course it's tempting to say yes because otherwise I'm never going to get on the housing ladder and once it's mine, it's mine, right?

Is there any reason eg inheritance tax or capital gains tax that he would want to offload this house? I just can't work out why out of the blue he wants to do this.

And will I get into trouble at any point for eg avoidance of stamp duty - or will this come back and bite me in the bum if I sell it on the open market in a few years time?

I agree with RoseAndRose post.

OP - this.

In addition: You say that your DF inherited the flat many years ago. As I'm sure you're aware older blocks of flats need major repair and upgrade periodically and sometimes the service charges haven't kept pace. Ex council property owners have to meet the their share of costs of any upgrade and these can be chunky, but of course are part of the risks and benefits of owning a home. Fire safety (and ability to insure) has also been an issue and from next year rental flats need to meet minimum energy efficiency standards.

On the other hand: if the flat is in London, unless there are cladding issues, you won't lose.

A PP poster has suggested that you might be liable for inheritance tax - this is wrong, it's your DF's estate that would be liable. However anyone who gives away assets should make sure that they've made provision for this in their will to avoid 'difficult' discussions with their heirs.

The OP has literally said:

"He's not really a very nice person. I would be delighted if it's catch free but I bet it's not."*

And she is the one that knows him.

The standard of reading comprehension on MN is definitely in decline....

As he's getting older maybe he's concerned about having to use his assets to pay for care. I work with elderly people and it's extremely common for them to want their children or grandchildren to benefit, rather than the bulk go to paying for a care home.
Maybe he's had a health scare recently?

Gosh so much rubbish on this thread!!!

what a generous offer! Yes check the lease of course.

and of course talk to a solicitor- do not under any circumstances rely on the information you have been given in this thread as some of it is blatantly incorrect!

and of course talk to a solicitor- do not under any circumstances rely on the information you have been given in this thread as some of it is blatantly incorrect!

It might be more helpful if you stated what was incorrect (and has nor already been corrected by other posters) so she knows what to check

Another vote here to check the lease length, check if any cladding issues, check annual service charges (obs can vary year to year), check any Section 20 notices possibly outstanding.
Absolutely not saying this is the case here, but many aduld children who have inherited an "over 60s" type assisted living type flat find they have actually inherited a huge burden..

Chartered Accountant and Chartered Tax Adviser here. Lots of rubbish on this thread. RoseAndRose and Plantstrees have it right though.

Thank you all for your help and advice with this. I have made an some appointments for some professional advice to make sure it's done all above board.