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Bought a house with my Dad in 2005 (in both our names) and in a life interest trust (worth about 200k)
Years later he moved in with new partner, married her and as it was her house (worth about 375k) they have entered into a life interest trust too so he can stay there if she dies first
When he dies what are the IHT implications? Is this messy because it could impact me and the children of his now wife who would inherit their mothers house? Ie would both life interest properties be added together for estate value and then have possible IHT implication which seems unfair on his wife's children who may not be left with much because the house I bought with him has taken things over thresholds!?
Im guessing that I then get hit twice because if I sell my property I'm then liable for CGT!?
Separately, any care home costs considerations on either/both properties if he had to go into care and his wife had died? Could council expect and proceeds?
Im wondering if I should end the life interest deed on my home with him now
Years later he moved in with new partner, married her and as it was her house (worth about 375k) they have entered into a life interest trust too so he can stay there if she dies first
When he dies what are the IHT implications? Is this messy because it could impact me and the children of his now wife who would inherit their mothers house? Ie would both life interest properties be added together for estate value and then have possible IHT implication which seems unfair on his wife's children who may not be left with much because the house I bought with him has taken things over thresholds!?
Im guessing that I then get hit twice because if I sell my property I'm then liable for CGT!?
Separately, any care home costs considerations on either/both properties if he had to go into care and his wife had died? Could council expect and proceeds?
Im wondering if I should end the life interest deed on my home with him now
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