Probate

[Ted62]

My father passed away leaving the house to me and my brother. My brother was staying thier for around 3 years caring for my father, now my father has passed away he has stayed on and put the council tax in his name and bills etc.

What does this mean for my rights as I have a share in the house. Probate has not been done yet,

Please advise

[PallasAthena]

It shouldn't affect ownership but might be a factor if you and he don't agree what should happen to the house. Do you plan to sell it? Does he want to live there permanently. You also need to look at exactly what the Will says about whether the house should be sold. Are you both Executors?

[Ted62]

Thanks for your reply.

We are joint executors, there is no instructions on whether the house should be sold, only that we should both inherit the property. He did not advise me that he had put the council tax in his name. I am ok with him staying there as he is a single person and I much doubt if he will ever not be single, he has his own place to live but I think he has big ideas and want to have the house to himself. We also inherited another property overseas which he has offered to buy me out so I feel he want to eventually try to buy me out of this property also , by moving in maybe he will have a strong case to claim some sort of right to stay etc.

I am happy to share, Im ok with him living there rent free, I also would like to leave my share of my families estate to my children oneday, they are quite young so it would be a very longtime before that may occur.

The probate for the overseas property is in process, I told him I did not want to part with my share, so so far he has not spoke about the offer, so I will be happy to see my name on the title deeds and leave it at that.

With the UK assets he is doing the probate to save money and keeps me updated, if you know about these things is there any advice you could give me regarding probate to make sure that I am not in danger of agreeing to something that may lose me the rights to the property?

Thanks

[PallasAthena]

Just on the Council Tax point, when he became sole occupier he was, by law, the person responsible for paying CT and was required to notify that to the council. Maybe as a courtesy he could have told you that but he was doing what CT rules require.

The same is true of water, electric, etc bills. As the occupier he ought to be responsible for paying them.

Will IHT be payable? If so is there sufficient cash elsewhere in the estate to pay it?

Personally I would be pushing him to buy out your 50%. Letting your brother live there for the rest of his life rent free is a rubbish financial deal for you. Surely he should be paying you (50% of) full open market rent?

And would your children really want to inherit a half share of a house that their uncle is living in that doesn't produce any income for them but they might end up having to pay CGT on? My children would prefer the cash!

But if that is what the two of you decide to do you should consult a solicitor to draw up a formal agreement and to advise you on the CGT implications.

[Ted62]

Thanks for your reply

There wont be any IHT, fortunately.

With the house situation, its a great house in the rigth location and has so many memories for me, I want to be able to go there when ever.

I havent touched on the future of the house with my brother yet, prefering the wait and see approach, the house has value and holding on to it will only see its value grow over time.

I would like to live there myself though I could see things getting a bit messy if I mentioned this. What are the rules if both parties want to keep the house but not wanting to share, can you force one to sell there half?

If he is living there rent free, and he forces me to sell, can I claim back rent?

Thanks