Inheriting nothing

[Awkwarddiscussion]

If a person is named in a will as to receive a quarter of the deceased’s home, but not any of the money in the bank, what happens if the home is sold before the person dies?

person a is named as receiving all money in the bank, a quarter of the home. People b c and d have a quarter of the home left to them.

person a is pushing a dying relative to sell the home. There is not at present a need to sell (to pay for care). If the home is sold while the dying person lives and this becomes just money in the bank account, do person b c and d get nothing?

the dying person 100% would want people b c and d to inherit but is not well enough to alter a will.

for reference, I’m not any people a b c or d. I’m the sister of the dying person. But I’m concerned that my sisters wishes are not being respected by person a.

IANAL, but if she still has capacity to change her will, then it would seem to make sense to change her will to percentage values of her total estate?

She wanted a to take the money because he is her son (where’s the others are grandchildren) and has cared for her with hospital appointments etc. other than that, everything else was to be equal.

the ale probably is in her best interests because it gets it out of the way. But it mean that a will likely get 300000 pounds and b c and d nothing. Whereas my sister intended a to get about 150000 and b c and d 50000 each.

i think my concern is that I don’t think my sister realises the selling it would have that effect. I think she probably thinks that the money will sit in a separate pot to be divided between abcd whereas it appears that isn’t the case and a will have it all.

when I said isn’t well enough to alter her will, I didn’t realise she could do that from a home visit so I suppose I need to suggest this to her.

Maybe a isn’t aware of the repercussions or maybe he would honour it and share out the money as intended

The only one who will actually be disinherited (because B and C will inherit through dad) is D. Worth saying to A that this is what he is encouraging. The one GC to get nothing.

Yes that’s right

Yes, I think this is the point that really needs making.

It's so sad when people lose a parent then are also disinherited or inherit much less - when presumably they have already lost out financially as well as emotionally

Is there a reason why it's fair for the son and his children to get 3/4?

I think my sister sees it as four people who mean a lot and so she divides the house in quarters. I suppose the remaining money is for the person who’s taken on the burden of her care.

i know there’s lots of ways people might divide it but I’m not in the business of commenting on how she’s chosen to do it. I only feel strongly that what she intended should be her wishes respected

This assumes that A doesn't increase his lifestyle with nicer holidays, cars, clothes etc or get a gambling habit and spend it before he dies. If A is 40 he could live another 40 years and if he spends an extra £3.5k a year that's £150k. Lottery winners have blown a lot more.

If you are interfering anyway then you could always ask whether she means to favour one side of the family.

She may mean to.

She knows what she wrote in the will, after all, so if she has capacity then really you'd assume she knows the implications. If you are not in the business of commenting on how she chooses to do things then there must have been a reason she decided to specify the house itself rather than assets, and now might sell it. No reason to comment on that either, really.

You’ve said she has capacity so just go and speak to her. There is a no point in this thread; nothing anyone says can help. But you can speak to your sister.
Remind her of the will, tell her if she sells then her grandchildren will get nothing. Also point out that there is no need to sell; it’s hassle she doesn’t need. Ask her if she still wants her grandchildren to inherit. If she says yes then tell her not to sell her home and ask if she wants help telling her son to leave it alone.

You said you don’t know whether A knows the contents of the will….. he might be assuming he gets it all anyway. There may be no nefarious intent, just the practical matter of, knowing his mother will not be returning to the house, there is no need to keep it and it’s costing money and at least some effort to keep an eye on.

So I suggest your first step is to speak to your sister and make her aware of what the effect of selling the house would be if she doesn’t change her will. And/or suggest that she talk to the solicitor who drew up her current will and clarify how to achieve what she wants.

She could have something added to say that if the house is sold before death, then they receive a quarter of the money in the bank, minus whatever lump sum she wants her son to have first.

I would advise you to talk with your sister and explain what will happen if a sells the house & how the others will not inherit under the current will.

Has a got the LPA to act now or when your sister loses her capacity? Some LPA's can be made to act asap and not when a person loses capacity to make decisions.

I would ask your sister if she would like to update her will to be fair to all & does she even want her house to be sold at present?

It would be easy to see why someone might think it better to sell a house now now later, if they fear prices going down. I wouldn't presume bad faith.

But I would very very much warn your sister. Those kinds of things have all kinds of knock-on effects that are hard to foresee, like the kids at some point realising they would have had the money and it causing resentment with A, etc.

On the 'being well enough to write a will' point - my auntie was very unwell in intensive care on deaths door & could only communicate by barely writing on a notepad. Doctors felt she had mental capacity and despite not being able to effectively communicate she changed her will to leave everything to her new romantic partner 🤷🏻‍♀️ died shortly afterwards.

If she sells the home then the gift adeems (i.e. the gift fails and recipients b, c and d get nothing).

If she sells the home, she should write a new will first if she wants b, c and d to get something.

Note the above only relates strictly to the question you asked. Other factors in this situation (e.g. dependent children or spouse) could affect the outcome of what happens to the cash.

I should add that those commenting on the validity of the will are not providing relevant advice. The issue is that an item on the will might not be there at the time of death, not that the will itself is invalid.

@Awkwarddiscussion to answer your question if the house is sold that part of the will fails. All the money would go to person A.

The quickest way to resolve this may be a codicil I.e. if property is sold estate is split between A,B,C and D as follows and state % rather than cash. E.g. A 55% and B, C & D 15% each or 40% & 3 x 20%. A solicitor could do this quickly with a home visit.

I do think as this is your sister, you are not a beneficiary and you are looking after 3 minor beneficiaries you are the only person who could reasonably point this out.

I would also point out to you that if your sister dies before completion then it is unlikely A could finalise the sale. I recall reading of a case where someone died between exchange and completion and it was a nightmare to resolve.

Unfortunately I have discovered when it comes to inheritance some people lose their moral compass and behave in ways you would never expect.