My mum (let's call her Mary) has one other sister. Their mother is now in her 90's so has limited time left (but she is 100% 'all there' and active).
Mary lives with her mother (just the two of them) and is her live in carer. Her sister rarely visits (even though she lives 20mins away) and when she does, she always has something else to do like getting her nails done so doesn't stay long.
Currently the mother's will is set up so that Mary can live there until the day she dies, or decides to move out and then the property is split between the two sisters. The mum doesn't want this anymore and just wants to give the property to Mary in her will as she has been there for her mum her entire life (lived and cared for) and the sister hardly says boo. She has no other assets - just this house (in NSW).
No matter how good the will is, it can always be contested by the sister. Is it best that the property be bought from the mother before she dies and an agreement be put in place for her piece of mind that the mother can stay there as long as she wishes? The house is probably worth around $800k. Is there a way to gift the property to Mary or sell it to her for a nominal/token amount ($1/$100/$1,000??) Would stamp duty be payable on the full $800k? No CGT as is PPOR.
The other complication - when Mary's mum does pass away, she wants to give the property to me (her only offspring) for my family. We would knock down the house (place is really bad - a knockdown/rebuild) and build a house for us and a new self contained flat for Mary to live in. That way we get a nice place we would never have been able to afford before, Mary gets a new place, etc. I'd want to pay the sister something so she's not getting nothing (say $50k). Can't afford much, plus the current will means she gets nothing until my mum moves out - which may be 40yrs away.
Does anyone have any great ideas of how to do this? Is buying it before the mother dies the best way, and how can the title pass to me without paying stamp duty twice (eg. do I buy it)?
Thanks for your help.
Mary lives with her mother (just the two of them) and is her live in carer. Her sister rarely visits (even though she lives 20mins away) and when she does, she always has something else to do like getting her nails done so doesn't stay long.
Currently the mother's will is set up so that Mary can live there until the day she dies, or decides to move out and then the property is split between the two sisters. The mum doesn't want this anymore and just wants to give the property to Mary in her will as she has been there for her mum her entire life (lived and cared for) and the sister hardly says boo. She has no other assets - just this house (in NSW).
No matter how good the will is, it can always be contested by the sister. Is it best that the property be bought from the mother before she dies and an agreement be put in place for her piece of mind that the mother can stay there as long as she wishes? The house is probably worth around $800k. Is there a way to gift the property to Mary or sell it to her for a nominal/token amount ($1/$100/$1,000??) Would stamp duty be payable on the full $800k? No CGT as is PPOR.
The other complication - when Mary's mum does pass away, she wants to give the property to me (her only offspring) for my family. We would knock down the house (place is really bad - a knockdown/rebuild) and build a house for us and a new self contained flat for Mary to live in. That way we get a nice place we would never have been able to afford before, Mary gets a new place, etc. I'd want to pay the sister something so she's not getting nothing (say $50k). Can't afford much, plus the current will means she gets nothing until my mum moves out - which may be 40yrs away.
Does anyone have any great ideas of how to do this? Is buying it before the mother dies the best way, and how can the title pass to me without paying stamp duty twice (eg. do I buy it)?
Thanks for your help.