Your money problems solved
Annie Shaw
A
Anyone considering giving
a child money to help them
get on the property ladder should
take advice on the best way to
do this. Your own financial
security is paramount, and you
have wisely decided against
mortgaging your own home.
You should also be aware that
involving an older person in the
loan could, if the lender has
a maximum age policy, reduce
the period over which it is
repayable. This makes monthly
payments more expensive.
One area you could explore is
a ‘joint mortgage sole proprietor’
deal. These cost a little more
than a regular loan and are not
widely available but are offered
by a number of lenders. They
allow a parent or other
interested party to be included
in the mortgage arrangement,I want to help my daughter to buy a flat. My original
plan was to buy jointly and have both our names
on the deeds and the mortgage. But because
I am a homeowner, the purchase would count as
a second property and we would have to pay
a considerable extra sum in stamp duty. Is there
any way round this? I’ve ruled out mortgaging
my own home and simply giving her more cash.but with only one name listed
with the Land Registry, thereby
avoiding the extra stamp duty.
See a broker for more advice.Q
My friend’s husband died
without making a will, and
I have been trying to help her to
sort out his affairs. We obtained
letters of administration and
filled in form IHT205 for estates
unlikely to pay inheritance tax.
Months later, a dividend payment
arrived for some shares we
didn’t know about. We thought
everything was done and
dusted but are now not sure.A
If the value of the shares
takes the estate over the
nil rate band of £325,000 you
may have to complete form
IHT400, but only if the estate
does not qualify as an ‘excepted’Spotlight on
Council Tax
People with mental health
impairment, including
dementia, may be entitled to
an exemption. A couple living
together where one has
dementia may accordingly be
entitled to a 25% discount,
as if for single occupancy.
There’s more information
available at alzheimers.org.uk
Z or from your local council.Money
Did you know?
(^2018) I SAGA.CO.UK/AUG-MAG 95
Q
ALAMY
30
retired homeowners a day gave
away some or all of the cash
they extracted from the value
of their homes via an equity
release scheme in the first
three months of the year.
8 %
of first-time home-buyers now
turn to grandparents for
financial contributions towards
a deposit. More than half get
some sort of help from family
members, usually parents.
- 614 million
employees had joined a pension
scheme under auto-enrolment
by the end of April 2018.
45 %
of ‘empty nesters’ across the
UK say they’re not considering
downsizing to a smaller
property despite their children
having ‘flown the nest’,
according to Lloyds Bank.
Nevertheless, a quarter (26%)
say they don’t enjoy being an
‘empty nester’, with 14%
saying that it’s difficult to live
in the property now that
it feels empty.