Property Ownership/Rights

[willy100]

Hello,

Please can someone offer some advice with regard to my property which I co-own with my wife as Joint Tenants. We have recently purchased this property and my mother has moved in with us after selling her property and she has given us the proceeds. I have enquired with a Solicitor recommended by my union who suggest that I have to change my ownership to tenants in common and they will create a document that gives her rights to stay in the property in the event of mine or my wife's death or both. We each have two children from previous marriages.

is it possible just to make my mother the beneficiary of my estate if I die, therefor protecting her interests if I am no longer here if, say my wife remarried.

Thank you.

[Peridot]

Re: Property Ownership/Rights

Hi Willy100,
Short answer, yes you could leave your mother your estate, although your wife would also need a right to reside in your share of the property. However, playing devil's advocate, what happens if you or your wife divorce or were to become bankrupt, how is your mother's contribution to the property protected? None of us know what will happen in the future. Unfortunately we have to protect ourselves. I assume your mother's contribution was substantial and in the event she needed to move to her own place or needed a care home or to pay for care, her money would then be tied into the property? Am I correct in assuming that without mum's contribution you would not be able to be in this property?
It is your mother that needs to obtain advice on protecting her interest and/or her finances for the future.
Another issue may be that if in the future your mother did require care whether in a care home or at home, and an assessment for funding was carried out, the Local Authority may look behind any arrangements that you have entered into, if they believe that her assets/funds have been utilised to deprive them of the fees for such care.
Sorry, probably not what you wish to hear but she should take advice herself really on how to protect her interest. In any event you will also need to take advice on how best to protect all three of you at the property, in the event one of you passes away and in order to best deal with the children too.