Joint Ownership Brother & Sister

[Rizo]

I lived in the house with my Dad, My dad passed away over a year ago. He left no will. Me and my sister now own half of the house each and I have been paying my sister rent to stay there, by Law do I need to do this ? The money I have been giving her, should that be going towards paying her share of the house off ? There's no written contract or tenancy agreement in place .

[ostell]

Re: Joint Ownership Brother & Sister

It is paying rent for your use of half of the house that she owns. I would expect it to be 1/2 of the normal rent where you live.

[Rizo]

Re: Joint Ownership Brother & Sister

Yeah it is half of what the full rent would be. Do I need to be paying her rent or paying to buy her out.

[MissFM]

Re: Joint Ownership Brother & Sister

Hi Rizo, & to LB,

Firstly, I'm sorry for your loss.

Of course you can buy your sister out if you both want that. It would be wise, though, to do this on a clear strictly business footing.

Probably the easiest way would be to get a professional valuation to which you both agree and for you to obtain a mortgage to buy her share outright.

Others here might have different ideas x

[dan_1207]

Re: Joint Ownership Brother & Sister

Why are you paying rent to live in your jointly owned house?

[Rizo]

Re: Joint Ownership Brother & Sister

This is what I a bit confused about, I don't think I should be paying rent. Plus the house isn't in a rentable state. I just want to know where I stand.

[meellis]

Re: Joint Ownership Brother & Sister

If the house is paid for already by your dad, ie no mortgage, then maybe you should also be asking why your sister should let you live there for free when she might need to release her half of property so she can use the inheritance for her own purposes. If the house isn't in a rentable state after you and your dad have been living in it then maybe you need to ask why it is in such a state and what you and your sister are going to do about it being JOINT owners. Deaths within families and what is left afterward always produce arguments and thoughts that have never been considered and it all too easy to see your own point and know one else's. If there is a mortgage to be paid as intimated in your original post then who is named on the mortgage and what has been legally agreed that you and your sister have half shares if there was no will? Remember that even if there is a mortgage there might still be equity within the property that your sister may or may not be entitled to release. Your posts create more questions than answers so maybe you should post a few more details of how you have come about the joint entitlement, rental agreement, how the house is paid for or being paid for and how the house is being maintained and then maybe clearer answers will be able to be given.

[Rizo]

Re: Joint Ownership Brother & Sister

The house has no mortgage, it's still in my dad's name, the reason is my sister is in debt with the inland revenue and others. We did a verbal agreement in front of a solicitor for me to pay rent to keep the peace. I've lived in the house with my dad for 28 years, the house isn't In a bad state, just a few bits need doing to be able to rent privately. I couldn't afford to pay the rent last month cause I needed the money to get my van on the road, so I can go back to work, because I am self employed carpenter. She got all nasty and demanding the rent so I paid it and now can't get my van on road. I was wondering do I need to pay rent to my sister?
I'm struggling to get a mortgage to pay my sister out as I have never had anything on credit, so I have no credit rating to get a mortgage.

[meellis]

Re: Joint Ownership Brother & Sister

I understand your pain , I am a self employed plumber who lives with parents and my mum died just before Christmas so I understand trying to juggle the money so you can carry on working. I would imagine the verbal agreement in front of the solicitor could be considered to be legally binding if your sister had the time and funds to try and enforce it. Others may be along but I would imagine at some point the whole arrangement will have to be dealt with officially so your fathers estate has been properly dealt with so you need to try and stay friendly with each other so this can be arranged amicably and hence cheaply. One thing for certain is that you are heading down a road that will require tolerance and patience so you both get what you are entitled to. Did you live rent free with your dad or did you contribute to the house and hence have a stake in the property that should be realised. All these factors will play into the final outcome so make sure you are prepared but look at it from your sisters point of view and you can understand why she might want to release the capital but you could also understand why she needs to understand the implications of potentially owning half of the property if the inland revenue come collecting. It is safe from her creditors if it is in your dads name or your name but it isn't with her name to it and I cannot be sure how long it can be in your dads name before it legally has to be dealt with. On the question of who should have rent paid to them then I would suggest it would probably be legally paid to your dads estate to be distributed properly because the house is the property of your dads estate until that has been sorted.

[des8]

Re: Joint Ownership Brother & Sister

Has any one applied for letters of administration yet?

If not who has notified his bank, HMRC, DWP etc etc?

At the moment it seems that neither you nor your sister might own the house. As it is still in your father's name it is part of his undistributed estate.
As M suggests, any rent should be paid into the estate.
The amount of rent should be agreed with the administrator, who acts only in the interest of the estate.