Hello and thank you for your question. I will be very pleased to assist you. I'm a practicing lawyer in England with over 10 years experience.
May I clarify that you hold the home as TiC with your wife or someone else please?
Yes with my wife
Thanks. How long would you want to give each of your your wife and your mother in law (MIL) a right to occupy for?
My wife until she died or wished to move, my mother-in-law until she died or wished to move.
Thanks. Finally after that right ends, to whom would you want your share in the property to go? for example would it be your children?
Yes to the children of which we have two
Thank you. as you will know, if you own your property as tenants in common, you will earn a 50% share in your property with your wife knew the other 50% share in this you have some form of agreement that specifies other shares have been agreed. In any event, you can only deal with your share of the property in your will. Principally I believe that share absolutely to somebody or you can create a right of occupation (which is what you suggest) or life interest over your share with the share passing to your children when that right ends.
But can I name my wife and mother-in-law as both have right to reside?
it is very common to create something known as a life interest for your spouse which gives your spouse the right to occupy the property for as long as she wishes, to sell the property and buy another and so on and then for that shared to pass to your children after your spouse's death or some earlier event such as remarrying as you decide. This approach is a popular one because it is very tax efficient and also can serve to protect much of the property from claims by the local authority plan carefully contributions in the future.
It is possible to create a like right for your mother-in-law however this could potentially create a complication from a tax and more importantly you would need to think through the impact it may have on your wife. eg. your wife would not be able to ask your MIL to leave if she wished or could not easily sell the property without your MILs agreement etc.
You would need to talk or think through these implications carefully.
That's all fine. Thank you.