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Transfer of interest - legal/tax implications

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  • Transfer of interest - legal/tax implications

    I would appreciate anybody's assistance in the following issue:

    My parents are separated and haven't lived together for 10+ years. They haven't yet got divorced, I would like to say out of convenience, but it's more to do with cultural issues.

    Anyway, the family home/former matrimonial home is more or less without a mortgage (I think there is a couple of thousand pounds outstanding), however let's assume that there is no mortgage outstanding on the property, and accordingly, no mortgagee interest.

    The house is currently in equal ownership with the Land Registry, and my father has agreed to give his 50% to my sister and I (which in effect means we will give it to our mother).

    Could anybody advise on:

    1. the implications (legal and/or tax) of our father 'gifting' or selling us his 50% share for £1? My sister and I are young professionals and don't own any properties. Our father is in mid-50s, so I don't think Inheritance Tax would be much of an issue;

    2. the best way to do the above;

    3. would it make a difference if he 'gifted' or 'sold' his interest to our mum for £1?

    4. also, whether the above could be done without a solicitor? i.e. is it relatively easy? I am a lawyer, but have completely forgotten anything I learnt at university about Property Law!!

    Many thanks, in advance.

    Bahar
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