Odd probate valuation?

[Oaker Jay]

Hello,

I'm looking for some insight into probate and valuation, and it would be really great to hear some thoughts.

I'm looking into a an estate and property which has previously been surrounded by some odd circumstances, and I'm trying to understand some new findings.

To give a brief breakdown:

1. The value in the grant of probate amounts to £580,000
2. The value of the house amounts to between £450,000 to £475,000
3. The house was never sold, but instead transferred using forms AS1 and AF1.
4. £345,000 was paid in cash to beneficiaries.

I'm trying to understand how the £345,000 could have been paid to beneficiaries without the sale of the property. I did contact the Land Registry directly, and there have been no charges to indicate that this sum came from any remortgaging or equity release.

I'm a complete and total layperson in this area - any advice to fill the gap of ignorance would be an amazing help.

[des8]

Are you a residuary beneficiary?
if so ask the executor for an inventory and accounting.
The answers should lie therein!

[Oaker Jay]

Hi there,

Thank you so much for your response! Unfortunately I'm not the residuary beneficiary.

I should probably add that the residuary beneficiary was a spouse, but this individual was not a co - owner.

I don't know if this gives sny insight, but the propert was transferred two years after the release of the estate.

[des8]

Without a lot more detail difficult to comment.

However from what you say I'm guessing that the marital home was solely registered in the deceased's name.
This does not mean that the spouse did not have beneficial ownership, so that would have an influence on the amount of cash available.

[Oaker Jay]

Okay this is interesting,
In this case the property was owned roughly 3 years before the deceased had married, and the mortgage prior to death was also soley in the deceased's name.

So if there's joint beneficial ownership, I'm guessing it's generally not necessary to declare in Probate?

Would there be anything within the Land Registry to indicate benefcial ownership?

It's been a bit of a riddle trying to understand this. I can see I have more research to do now so thanks again your help.

[des8]

When the legal owner died was there any mortgage outstanding, or was it covered by eg insurance?
Any outstanding mortgage would have an effect on final available monies.


Re Beneficial interests: there may or may not be a restriction entered in the proprietorship register
You may find this link about ownership of interest:https://hmlandregistry.blog.gov.uk/2...heir%20benefit

[Oaker Jay]

Many thanks for the link - I'll give it a good look. Yes there was still an outstanding mortgage but it was paid off from the estate shortly after death.

I don't know if this implies anything, but as a side note, the property had also remained in the deceased's maiden name up untill transfer.