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Original poster

AIBU- Sister is angry i wont sell my share of the house!

190 replies

CollegeDoctor · 20/10/2021 00:43

DH and I are in great need of the hive mind. So last year due to issues with our father, we , my mother and brother and I. Purchased a home for my mother to live in. We asked dear sister to contribute, however she had'nt got the money at the time so could'nt. SO fast forward a year and a pandemic and the property value has increased by £40,000. Dsister came back and asked if she could purchase the house from us, i stupidly said yes and that she could do it at the price we bought at. (i really didnt think she would get all her ducks in a row)

Fast forward 2 months and she has and now wants to proceed to conveyancing. I know i was wrong to lead her on and promise, but i don't want to sell as the property is certain to continuing appreciating. What should i do ? What would you do?
Dsister is very angry that i have wasted her time.

OP posts:
PinkWaferBiscuit · 20/10/2021 08:03

@LorenzoVonMatterhorn

I agree with a pp. it absolutely does sound like you are ripping off your family.
It really does. They literally only have the OPs word that they will get their investment back should they sell and this post proves that the OPs word means a grand sum of Jack shit.

If I were your mum and brother I would be exceedingly worried about the very real possibility of never seeing that money again and having no legal recourse to prove they had paid for a share of the house.

Dozycuntlaters · 20/10/2021 08:04

I think the best way to go forward with this would be to offer her to buy in at equal shares so it's a four way split rather than three. And learn a lesson not to presume anything in business !

EvilPea · 20/10/2021 08:04

Is this her first house purchase.
As in she currently rents?

DeireadhFomhair · 20/10/2021 08:07

Say your DH doesn't want to sell, sorry for leading her on, but unfortunately it's not possible for her to buy it now.

EvilPea · 20/10/2021 08:14

If you have a number of properties and she has none. You’ve dangled a carrot of her actually being able to buy a house, an inheritance for her kids (if she has them) and a home for her retirement. I’d never forgive you for changing your mind and deciding you wanted to keep this one when you could probably buy another as an investment.
If this is her one shot at home ownership and stability in the future I would think your an arse taking that away from her when you have multiple properties already and could buy elsewhere.

However logistically and legally splitting four ways for inheritance etc seems a much better idea. You each take a utility bill to pay and split upkeep costs

SaltySheepdog · 20/10/2021 08:14

Apologise, you’ve changed your mind. As a compromise she could become a 4th owner instead but would need to purchase her share at the present market value rather then the original market value.

NutellaEllaElla · 20/10/2021 08:16

It's not her one shot at being a homeowner, she has the deposit now, she can buy a different home.

EvilPea · 20/10/2021 08:17

@NutellaEllaElla

It's not her one shot at being a homeowner, she has the deposit now, she can buy a different home.
Not if they’ve increased in value
CSJobseeker · 20/10/2021 08:18

@SaltySheepdog

Apologise, you’ve changed your mind. As a compromise she could become a 4th owner instead but would need to purchase her share at the present market value rather then the original market value.
Except it appears that there aren't 3 owners, there are 2 - OP and her DH.

OP won't be drawn on the legal details but it sound like she got her mum and brother to stump up cash without actually giving them a legal stake in the property. No wonder OP doesn't want to give up her scam!

Trethew · 20/10/2021 08:19

Whatever you decide, it will end in tears unless the ownership is recorded in a proper legal fashion. Go to a solicitor

CSJobseeker · 20/10/2021 08:19

Not if they’ve increased in value

In most areas of the country, this just means you buy a cheaper property. Not that you can't buy at all.

TillyDevon · 20/10/2021 08:24

I like the compromise above of letting her buy a share now so you all own a quarter, at current market rate if you want to explain it’s already gone up in value - or somewhere in between so she can manage it. and add the other parties as legal owners. It does sound a recipe for disaster though as shared ownership often is.

MrsElijahMikaelson1 · 20/10/2021 08:24

It all sounds a quagmire but at maximum I’d allow her to buy in at a quarter share at current value . She’s a bit of a CF for wanting to profit off you and you’re a bit of an idiot to agree now and change your mind after.

PinkWaferBiscuit · 20/10/2021 08:28

I like the compromise above of letting her buy a share now so you all own a quarter

The trouble is at present they don't all own a third of the property the OP owns all of it with her mum and brother having basically gifted her some money to help pay for it.

The OP and her DH are the only owners for the whole property.

EvilPea · 20/10/2021 08:28

@CSJobseeker

Not if they’ve increased in value

In most areas of the country, this just means you buy a cheaper property. Not that you can't buy at all.

Not necessarily if the increase in value is why she’s able to buy, so for simple maths Property £100,000 Increase £40,000 Value £140,000

Sister has a £10,000 deposit

The bank will only need to lend her £90,000 for a property worth £140,000. Suddenly she’s able to get the mortgage because essentially the deposit is bigger.

I don’t think the op is wrong to say no, it’s her prerogative. However as a long term renter I couldn’t get over having it taken away, yet again. More so as op has a number of properties.

CSJobseeker · 20/10/2021 08:30

And even more so given that the whole thing appears to be a scam in which the OP took money from her mum and brother while not actually giving them a legal share of the house

CSJobseeker · 20/10/2021 08:32

And you missed my point about cheaper properties. In most areas, if houses go up in value, the house you can now afford for your £100k Is just a smaller house. You can't afford the one that's now £140k, but that isn't the only properly out there.

Rummikub · 20/10/2021 08:32

i’m finding this very stressful to read. It sounds like a very worrying situation for your mum and brother. How are they protected in this situation? As previous poster has said what happens if you get divorced and it’s counted as marital assets? What happens when your mum dies does it go to your brother? Why does your sister want this particular property? Is her intention to live in it?
I’m assuming you don’t live in this property?

Will your brother and mum get a share of the profits? Are they named legally anywhere in regards to this property?

In order to protect your mother and protect her home you probably need to say no to your sister but offer to pay costs or even contribute towards a deposit in a different house so that she gets some help.

CSJobseeker · 20/10/2021 08:33

(As I was responding to a post that said it was her only shot at home ownership)

PiglingBlonde · 20/10/2021 08:34

@CSJobseeker

And even more so given that the whole thing appears to be a scam in which the OP took money from her mum and brother while not actually giving them a legal share of the house
This. It is easy enough in this situation to have all the owners listed on the title as tenants in common. The only reasons I can think for not doing so are pretty shady.
TractorAndHeadphones · 20/10/2021 08:35

You did a very shitty thing but she can’t force you to sell.
However - if this will be her first property and she managed to scrape together the money - why isn’t she buying her own house?
If you bought the house with your mum and brother you should ever never sell it to anybody ever without their consent! Christ what a mess

EdgeOfTheSky · 20/10/2021 08:36

As this is not your primary residence and money would change hands there would potentially be SDLT on the whole value, not just her share if the whole house would now be in her name.

Capital Gains Tax for you, on the whole value, given that the whole house is in your name…

‘In your name’ means you are the legal owner of the whole house.

How is your brother’s and Mum’s money protected?

TractorAndHeadphones · 20/10/2021 08:36

@CSJobseeker

And you missed my point about cheaper properties. In most areas, if houses go up in value, the house you can now afford for your £100k Is just a smaller house. You can't afford the one that's now £140k, but that isn't the only properly out there.
Yep. Most people can afford to buy a house if they have enough deposit. Maybe just a 2 bed flat instead of a family home.
TractorAndHeadphones · 20/10/2021 08:36

**depending on area of course but I’m excluding London cuz it’s crazy

CSJobseeker · 20/10/2021 08:39

Tbh, if i were the sister I'd want to steer well clear of the OP and her dodgy scams.

The OP would probably propose a wheeze such as selling her sister a 'share' of the property which has just as much legal backing as her mum and brother's 'share', while keeping it in her own name.

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