Gifting property to kids

[willquestionwith]

We was gifted a property by my mum about 4 years ago, she moved into her partners home. She had no will but is due to make one soon.

I was just wondering how would a gifted home be affected if she did pass away, would her partner have any say in this gifted property if she specifically wants to leave him any of her remaining estate in her will? If that makes sense.
Thanks

Did she formally legally convey it to you?

If so, it's no longer hers.

If she and her partner aren't married he has no claim on any part of her estate unless she leaves it to him in her will.

It was officially transferred to us (me) through a solicitors and it is on the land registry as being mine.

Also no they're not married but worrying that this property could still class as part of her estate

Just bumping for the evening crowd

Get legal advice. YOu need to know specifically for your own case.

If you own the property (a solicitor has ensured you own it and it is registered to you) then your mum can't leave it to anyone in her will because she doesn't own it.

I could state in my will that I leave Buckingham Palace to my husband- he wouldn't get it though would he?

If she has gifted it to you and it’s in your name on the Land Registry it’s yours now it no longer belongs to your mother. The only difference with it being gifted is that after 7 years you would not be liable for inheritance tax should there be any. I believe there is a sliding scale of how much you pay if the 7 yrs are not reached.
i’m not a legal expert but have done this with my parents.

If it is legally yours then its yours, your Mums husband or even your Mum have no say in what happens to it

If she were to die within seven years of the gift its value is taken into account as part of her estate for Inheritance Tax purposes. Do you live in it as otherwise you might be due Capital Gains tax if you sell it.

2 things to consider:
IHT if she passes away within 7 years of the gift. If you could not afford this you can take out an insurance policy for this amount.
Care fees. Gifting a child a home can be viewed as deliberate deprivation. It's un common - especially if your mum is in good health now, but not unheard of thag the council will
Count as part of her assets.

It is not necessarily the recipient who pays IHT , but the estate (which may ultimately mean the same beneficiaries receive less).

Quite simple then, it now belongs to you and not your mum.

There may be an issue if the value of the house when she gave it to you was more than £325,000 (or she had also made other gifts as well).

If this is the case then, if she dies within seven years of the gift then you will be primarily responsible for paying any IHT due on amounts above £325,000.

But there is a sliding scale which decreases over the years until you get to seven years.

Your mum is allowed to pass on up to £325k in the seven years before her death before IHT starts to get involved.

Here is a practical example. Let's say that the house was worth £425k (with no mortgage) when she gave it to you.

That was four years ago. In the very tragic circumstances that your mum passes away tomorrow then her entire estate passes equally to you and any siblings that you might have (unless her will says otherwise).

Since the gift to you (assuming she didn't make any other gifts) is over £325k then you are primarily responsible for paying the IHT.

£425k - £325k = £100k

Normally, IHT is 40% but, because the gift was between four and five years ago this is reduced to 24%. So, if your mum were to pass away tomorrow then you would have to pay £24k IHT on the value of the home (£425k).

If the house was worth less than £325k when she gave it to you (and there were no other gifts) then you don't need to worry at all about IHT.

If your mum lives for another three years, then it is totally disregarded for IHT purposes, no matter how much it was worth.
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"...if she specifically wants to leave him any of her remaining estate in her will?"

The house is no longer part of her estate. What she chooses to do with the rest of her estate is entirely up to her. But the house now belongs to you.

What you should be aware of is that everyone has a tax free allowance of £325k when it comes to IHT. If she dies within the next three years then the value of the house is still counted as part of her estate and so any money that she leaves to her new partner will be subject to IHT if the house she gave you takes up all or most of the £325k allowance.

If she survives for another three years then she gets to use the entire £325k for the rest of her estate that she might choose to give to her partner.