Property purchase with partner

Ejaishrukne

Registered User
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3
Hi,

Can you tell me the best course of action on the below.

House worth 300k
Parents selling to me and non-married partner for 200k (Mortgage)
So gift of 100k

My solicitor says that this gift is to be divided between us so they will be liable for tax on 50k

Is there anyway around this? We are first time buyers. Any advice is appreciated.

Owen
 
Are you in a position to get a mortgage for the full €300k?

If so do and after the purchase they can gift you €100k in cash. What you do with this money is your decision but I presume that it will be paid off the mortgage.
 
Probably should have searched...

Found this thread which is similiar
https://www.askaboutmoney.com/threa...tners-parents-what-taxes.188579/#post-1396969

I like Brendans option of
Option 2 - You and your partner buy the house for €450k with a mortgage of €250k and a gift to your partner of €200k.
You will own 28% (125k/450k) of the house.

So in my scenario it would be 67% 33% split.
Is this a straight forward process? Already have gotten mortgage approval for the house. Does it matter to them the split between us? or does it need to be 50/50?
 
Are you in a position to get a mortgage for the full €300k?

If so do and after the purchase they can gift you €100k in cash. What you do with this money is your decision but I presume that it will be paid off the mortgage.
That could be possible. Would it be best to go on a variable in this instance to put that lump in? I'm assuming going with a fixed rate from the start would cause a massive penalty to lump it back in
 
Would it not be more tax efficient for both parents to gift each of them 3K per year, ie 12K now, and 12 K in January. You're straight away at 1/4 of the 100K.

On another note, personally as a parent I would have an issue with gifting to a partner, I'd rather my 100K, a third of the house value, meant the house was owned by my child 2/3.
 
I'm almost in this situation with an adult child, I have concerns similar to Bronte, if the relationship soured, this would mean that the current partner has a claim on the property, My plan is to make a loan to my adult child and take a charge on the property.

My gift is to my child rather than another's ( the partner ), post marriage I propose to release the security on the property.
 
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