How to protect myself without looking like a d*ck?

[namechange10110]

I've name changed as people who know me might recognise my situation.

DF passed away recently. Everything in the will is left to me and my sister with 50/50 split. We are amicable and no reason to think things will turn sour.

How ever, my sister never moved out of the family home so was living with DF at the time of his passing along with my teenage niece. There was some cash in the will that we have split 50/50. But with the house, she can't afford a mortgage to buy me out but has said she will sell the house in around 3 years when DN goes to university. I have no reason to believe this won't happen. But, I want to protect myself in case it doesn't. I don't want to cause arguments by suggesting this so how can I go about it? What can I do? The deeds of the house will be put into both our names once we're through probate. Grateful for any advice.

That’s good you’ve got legal advice I’m sure they will guide you through this.

In the gentlest way could there be a reason why your df said a year?Maybe he was worried dsis would be difficult to make leave. He wanted you to have your share in a year's time. Maybe honouring is wishes is best.

I agree with @Pumpkinpatchlookinggood . It seems like your DF wanted to make sure the transition wasn't too abrupt for your DSis but that you would be able to realise your share of your inheritance in a reasonable amount of time. Equally I can understand that your DNephew is going into his GCSE year (is he in Y11?) and so timing is important.

I would make sure you don't frame your discussion with the solicitor as 'I want a Deed of Variation' but 'please advise on the risks of varying the will' - esp on capital gains tax as @Princessglittery says. I wonder if your DH should get separate legal advice that covers him solely as an executor. I don't know if I'd be prepared to do this in his shoes, but he's in a difficult position since he indirectly benefits by not doing it. Does he have a conflict of interest that means he should resign, I wonder.

No, the 12 months thing was my mum. I remember the conversation with her about it, she wanted to make sure we both got our share but didn't want DSIS and DN to be on the streets. I didn't realise it had actually been added to the will though. DM died 5 years ago and we never saw her will as DF dealt with it all, so only once he passed did we realise. I genuinely believe DSIS won't do anything dishonest but she has lived a somewhere sheltered life having never moved out so is quite naive to a lot of things.

I do worry that in three years' time there will be other reasons why she can't move out - too upsetting for DNephew not to have his home to come back to in the holidays, or he decides not to go to uni and so she has to continue to house him full time, or something else. In the meantime, is she going to pay you rent for occupying the whole of a house she only part owns? (I note from your earlier post she isn't paying rent at the moment). You surely will end up on the hook for any big repairs that could affect the value of the house, even if you have an agreement that says she is covering them.

One of my ex boyfriend’s parents drew up their will and the clause was that he /his sister could stay in the house six months before being required to sell it. Give either of them a chance to grieve, sort housing etc.

Both had king moved out, but I suppose could’ve moved back in at any point if circumstances changed.

Is Inheritance Tax due on the estate? If so, you must also consider how this bill will be affected by the delay in the sale of the house. Broadly, IHT can be paid by instalments when the house is not sold but becomes due in full on the sale of the property. The catch is that interest is charged on the outstanding sum if the instalment option is selected and so, if the sale of the house is delayed, the tax bill will increase.

Someone mentioned capital gains tax. I hope you’ve taken advice on this. It’ll be your sister’s principal residence remember, but not yours. If you delay the sale you may be liable for tax on the difference between the probate value and the sale value in respect of your half.

I’d be inclined to follow the wishes of the writer of the Will ie your dad. He set out what he wanted. I tend to think that everyone should respect that and abide by it. But …..if you write a DoV make it clear that the three years is non negotiable. Irrespective of her DC’s decisions re uni etc. It sounds as if your sister is putting off the inevitable tbh, and it could cost you.

Solicitor advice and assistance in preparing documents will likely be a few hundred or maybe low thousands at most. Compared to the value of the cash and house you have inherited, this will be chump change but will give all concerned (you, sister, executors) the peace of mind things have been done correctly and are set up in a way in which you are all happy and nobody can get screwed over. Please continue talking to the solicitor and get any variations to the will, or agreements prepared professionally and witnessed etc

Just in case anyone is still following.

So probate took an age to come through, we weren't able to do anything until that was sorted. Once it was granted I spoke to a solicitor about the deed of amendment to the will. She was very to the point and told me how risky it was and really best all round would be for my sister to buy me out. She suggested holding a meeting between us to discuss and she would make this suggestion to her. Anyway, DS is in process of applying for a mortgage and will be buying me out. I'm so relieved. And very grateful for the advice I received on this thread, I would probably have just gone along with it had I not posted here, so thank you!

That's a good result, @namechange10110 . I assume your DH is also greatly relieved about carrying out his executor duties?

@namechange10110 thank you for updating. Glad that you got legal advice and that it is being resolved in a sensible way.

That sounds promising. I hope everything works out.

@tribpot yes! He won't be volunteering to be an executor again, that's for sure!