Wife's share of a rental property

[Perdid0]

Hi. My wife is deteriorating and worst case scenario is that she needs residential care in the next few months. Much of her capital is a 50% share we have in a rental property. The tenant has been absolutely perfect and so we haven't raised the rent since he moved in 7 years ago. I let him know our situation that we might need to sell the property and evict him to have the money available for care home fees - the contract says we must give 4 months' notice but I really don't want to evict him.

I had the thought that I could buy out my wife's share of the house and then put the cash into a savings account for her - I'm not sure I can raise that money yet but would it be OK to:
1) have the house valued by 3 estate agents on the basis - value it for a quick sale.
2) Keep those documents and then get solicitor to proceed with me buying out the other half.
3) Put the money realised into a savings account clearly in her name.

I realise there is a clear potential for conflict of interest as I could ensure the house is under-valued and then there is less money left before asking the council to pay care fees. There are 2 other LPAs but they are our sons and so equally have an interest eventually in undervaluing the house to divert money from the council, but it is not unusual for tenants-in-common to buy out the other owner.

Apologies to anyone reading this who is seriously skint or facing eviction and feels they wish they had my problems.

 

[nitram]

I had the thought that I could buy out my wife's share of the house and then put the cash into a savings account for her - I'm not sure I can raise that money yet but would it be OK to:
1) have the house valued by 3 estate agents on the basis - value it for a quick sale.
2) Keep those documents and then get solicitor to proceed with me buying out the other half.
3) Put the money realised into a savings account clearly in her name.

That sounds OK
Quick sale valuation because money wanted to pay for care.
Clearly you can't act on her behalf, not sure about other LPAs.
A trustee might have to be appointed to protect her interests.
If you think you can raise the capital or take out a loan contact your solicitor.

 

[Perdid0]

That sounds OK
Quick sale valuation because money wanted to pay for care.
Clearly you can't act on her behalf, not sure about other LPAs.
A trustee might have to be appointed to protect her interests.
If you think you can raise the capital or take out a loan contact your solicitor.

Thank you.

 

[Perdid0]

I have now found (but not through my own solicitor) that I cannot act as LPA for my wife for me to buy out her half of the property or to just sell it. I hope it will be OK for 1 of our sons who are also LPAs to act for her. Waiting for solicitor to give me an opinion.

 

[canary]

I have now found (but not through my own solicitor) that I cannot act as LPA for my wife for me to buy out her half of the property or to just sell it. I hope it will be OK for 1 of our sons who are also LPAs to act for her. Waiting for solicitor to give me an opinion.

Yes, its fine for one of the other POAs to sign, its just that you cant act for both yourself and for your wife for the same thing

 

[nitram]

Yes, its fine for one of the other POAs to sign

My query on whether it would be better to get an independent trustee was based on how to value half a house, open market or value to purchaser and

There are 2 other LPAs but they are our sons and so equally have an interest eventually in undervaluing the house to divert money from the council,

If there was contention about the value the LA could say that using a son to act for his mum was a conflict of interest.

 

[canary]

My query on whether it would be better to get an independent trustee was based on how to value half a house, open market or value to purchaser and

If there was contention about the value the LA could say that using a son to act for his mum was a conflict of interest.

Fair enough. I was just commenting that you cant have the same person signing both for themself and using the POA