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Do you have any siblings or any other relative who could potentially inherit part of your father’s estate, who might object and claim that you had coerced your father into this?
Do you have another house which you live in?
I’m sorry, I’ve just noticed that you are in Scotland.
The situation may be different than England so I will have to opt out for a Scottish expert.
I am a solicitor in Scotland. There is no issue with you paying off the mortgage. The only issue with the house being transferred to you whilst your father is alive is that you might eventually incur a capital gains tax liability when the house is finally sold, if it goes up substantially in value. If it remains in your father's name then that wouldn't happen as its his main residence. However, wills can be changed and if you decide not to transfer the title just now, you could take a security over the property in your favour and also enter into a Minute of Agreement which would be signed by both of you agreeing that the house will be transferred to you on death. If, however, you don't think the property will increase substantially in value then the lifetime transfer is the way forward. Remember that if you already have a house you would be liable to Additional Dwelling Supplement at 3% of market value. Happy to discuss. I hope that helps. Please leave a positive rating so that I am creditd for my time.
Thanks for clarifying. From what you say, you could do the transfer now and your father could remain in the house and pay the bills. He would not have to pay rent unless there is a risk that his estate would be liable for inheritance tax in which case he should pay a market rent so as to exclude the value of the house from his estate on his death. If he is under the IHT limit of £325K this doesn't matter.
You have to repay the mortgage and ask the lender to discharge the security over the property that they currently hold. Your father signs the title over to you for love favour and affection so that no LBTT is payable as it would be a gift. Your title is registered at the Land Register which will charge you £120. Solicitors fees would be about £750 plus VAT.
No, only a potential CGT liability as advised above. I hope that helps. Please leave a positive rating so that I am credited for my time.