We are the property and finance attorney of a lady client who no longer has the requisite mental capacity to deal with these. She no longer lives at home and resides in a care home.
She owns 60% of her property and son and daughter each own 20% as t-i-c (husband predeceased). The house is now vacant and it is not desirable to leave it empty.
Her Will leaves her share of the property to son and daughter equally, but if she has no property at her death, the residue passes exclusively to grandchildren, so her son and daughter will lose out at that time if the property is sold.
It will be very expensive to get the property into a position to be rentable and we do not particularly wish to become joint landlords with the son and daughter.
Would it be acceptable to sell the property now and hold the 60% of the proceeds on some kind of flexible trust for son and daughter to protect their interests? However, we are also mindful that in due course it may be necessary for these monies to be used for care fees if the lady lives long enough. Can members think of a way that could assist all parties?
Many thanks for all your help.