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Should we sell my mother's house or rent it out? Lilly Whale answers a reader's question for the Financial Times
Lilly Whale, Associate in our Private Client team, has helped to answer a reader’s questions in The Financial Times’ weekend opinion column:
“My 81-year-old mother has decided to move into a nursing home this month because she’s very frail and has Parkinson’s disease. My three siblings and I are unsure whether to sell the house (worth about £600,000) or rent it out. Our mother has savings of about £140,000 and a good pension, which will cover the cost of her care for the foreseeable future, so there is no real hurry but for obvious reasons we don’t want the house sitting empty for a long period.”
Lilly answer covers the following legal and practical questions:
- What is the residence nil rate band (RNRB)?
- How to identify the inheritance tax liability?
- Am I eligible to pay for the cost of care as part of my inheritance?
- What can I use an inherited property for?
- Can I create a source of income from the property?
Lilly Whale is a specialist solicitor advising individuals and families in relation to inheritance tax, the formation of family trusts and estate planning.
Goodman Derrick – Private Client
Our Private Client team offer expert advice to individuals and their families on a wide range of matters, the group:
- assists in drafting wills which best suit our clients’ particular family circumstances
- has wide experience in obtaining probate including dealing with the estates of non-domiciled persons and assets overseas
- registers enduring and lasting powers of attorney with the Court and have experience in dealing with contested applications to register
- provides assistance with the day-to–day administration of trusts
This guide is for general information and interest only and should not be relied upon as providing specific legal advice. If you require any further information about the issues raised in this article please contact the author or call 0207 404 0606 and ask to speak to your usual Goodman Derrick contact.