Probate - house tenants in common

[Peridot]

Re: Probate - house tenants in common

Hi,
The solicitor pointed out the risks to the executors but the executors have chosen not to follow any other advice they gave, regarding a further restriction for example.
Just bear in mind if you were to do any of the suggested things the solicitor has flagged then the beneficiaries could well have a claim against the estate which the executors would be personally liable for, particularly if they had not followed the legal advice given on this. So you and your sister as executors, may become liable to the beneficiaries if their legacy is not protected as well as it can/should be.

[Debkit69]

Re: Probate - house tenants in common

Thank you, if we took the restriction over to another property would we need the siblings permission? Many thanks, the letter is abit confusing as she states we could sell and keep the money, this is why we thought we would be ok, thank you

[Peridot]

Re: Probate - house tenants in common

I think there would be an issue in that as the property has not been transferred into yours and the executors names, when you came to sell the Land Registry would need to know why your mother isn't a party. Any buyer's solicitor/conveyancer would be looking into the ownership so the Death Certificate and Will would be known. It would not stop a sale but it is going against the Will and therefore as an executor as I mentioned above you would be liable to the residuary beneficiaries. The executor's solicitor has done the right thing flagging the issues that could arise for the executors. It is a bit of a minefield that has been created, but don't forget your legal duties to the beneficiaries, as an executor. You and your sister as executors will have personal liability in the event things are not dealt with correctly.
It would be obvious from the paper trail that the executors were aware of the issues but did not deal with them as far as they could or protect themselves with an insurance policy, if possible or needed.
I would suggest that you need to be very careful to 'protect' the legacy for the beneficiaries. Would it not be more sensible to re-mortgage to pay the beneficiaries their 10% each at this stage and have the property in your own name solely. You can then do as you wish with the house in the knowledge there can be no comeback on you at any stage in the future?

[Debkit69]

Re: Probate - house tenants in common

Thank you for all your help but id never get a mortgage if ive got to pay them 10% of the valuation each now, total of £80,000, thank you for all your help

[Peridot]

Re: Probate - house tenants in common

I'm sorry it isn't what you wanted to hear. It is a difficult one. I couldn't advise you to go against your mother's Will but as one of the executors you also have the personal liability if you did which would cost you even more if a claim was made.
I hope that maybe the family can reach an agreement, that is suitable for all concerned. I would say time may help but it seems this has been dragging on for a while already. It may be worth discussing mediation to come to an agreement? Just a thought. If anything else happens we are here if needs be.

[Debkit69]

Re: Probate - house tenants in common

Hello, is it possible to let the house out to pay a mortgage on another property? Many thanks

[Peridot]

Re: Probate - house tenants in common

Hi again,
I don't know what a mortgage lender would say so you would need to get advice on that. It appears to be a buy to let type scenario but letting your current property so that is something you would have to explore further.
With regard to any rents as 50% of the property is meant to be in trust for the other residuary beneficiaries they would have to agree and also 50% of the rent should be held and invested as appropriate for them. You wouldn't be entitled to 100% of the rent. You also have the issue of the Will which if I recall correctly, states the property should be sold if you weren't living in it. Sorry more considerations to be looked at rather than a straight answer.