BTL in Joint names to inherit
9:36 AM, 13th August 2014, 12 years ago
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My mother-in-law wants to invest in BTL and borrow money in my wife’s name & hers. Both are full time employees and my mother-in-law would like to pass the property on to my wife in her Will.
My mother-in-law is already 70 yaears old.
Is this the best way to do it?
Is it better to do it as a LTD company as joint share holders and than give away the shares?
The BTL property will not be more than £450k perhaps with a £200k deposit.
Any advice will be appreciated as she wants this for her grandchildren education.
Thanks
Samuel
3 comments on this article
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Member Since January 2011 - Comments: 12255 - Articles: 1477
9:41 AM, 13th August 2014, About 12 years ago
Hi Samuel
Lots of people will tell you this can’t be done due to age being a restricting factor in terms of mortgage lenders criteria. However, a Property118 Guest Article written by mortgage adviser Mark Edwards recently dispelled this myth with a case study I think you really ought to read – see >>> https://www.property118.com/case-study-first-time-buyer-first-time-landlord/65595/
You need to take some tax advice regarding IHT the use of a Limited Company as a vehicle for to buy to let. In my experience the costs of setting up the company and ongoing accountancy fees rarely make is viable. It also limits choices in terms of available lending. Here’s a link to the member profile of the accountant who advises me >>> https://www.property118.com/member/?id=452
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Member Since July 2013 - Comments: 22
11:57 AM, 13th August 2014, About 12 years ago
Have a chat to both an accountant and solicitor who specialise in property. I’m not 100% sure but using a deed of trust might be an option somehow.
Member Since January 2011 - Comments: 12255 - Articles: 1477
11:59 AM, 13th August 2014, About 12 years ago
For a legal perspective, Gareth Jones is one of the Direct Access Barristers I work with. He will be able to advise you and will probably charge you a lot less than a solicitor would. See >>> http://www.cotswoldbarristers.co.uk/staff/gareth-jones/
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