Adjusting for inflation

[Tram]

Seperate

Inflation has to calculate by compounding for inflation for example 1996 29 years of inflation while 1997 28 years of inflation 1998 37 years years of inflation.etc...


Summation
Or inflation for 1996 then add this to 1997 value then work out the inflation for 1997, then. Add this to the 1998 value then work out inflation etc...

 

[Semple]

Unless they wish to legally contest the will there's nothing to be done. Give them nothing informally either. That will just seem like a soft touch and they will come back asking/demanding more.

Again - these payments are 25-30 years ago into a mortgage...

If the will doesn't include them, or doesn't included a big enough "slice" for them that they expect, and they have no ground to doubt/or contest the will - That's just tough.

I'd look at it like this too, depending on how amicable your relationship is with this relative. If it's someone you're unlikely to speak with again then I'd leave the will as is.

Paying towards the mortgage is kind of a moot point as if the owner decided to just rent it out then it would be no different to any other rental where you can't claim a stake into a property that you're paying rent on.

 

[bainbridge]

More good points raised, thanks.

A key point raised here is that the will is a gift, not a right.

Also, once the mortgage was paid off in 2003 the relative lived there since, so has benefitted massively in that respect with no rent or mortgage of their own to pay for over 20 years.

Thae way I see it, if they want to factor in costs incurred, they must factor in benefits too.

Using the inflation calculator I've worked out that in today's money they paid in £8,176.

I just need to look at the in hard maintenance they are claiming now, and explain that while this undoubtedly helped with the current value of the property, again they have benefitted.

I might suggest they contact British gas to ask about a refund on the gas they used

 

[Jokester]

What was the relationship of this person to the deceased?

This should have been discussed and an arrangement agreed right at the start.

Edit: if they had lived there rent free for 30 years, even taking into account maintenance I think they’re probably due the estate more than they paid in mortgage payments!

 

[Tram]

Question do they have evidence of payment? Did the money go to the mortgage or it could be rent or a loan? Id look at the deceased bank accounts to see if they paid back the money etc.

Was the money paid to the mortgage provider or deceased?

If there is no written evidence from the deceased person then really they don't have a leg to stand on. No evidence legally zero chance.


If they did then you need to look at the mortgage statements and work out how much went on interest and how much went to the property itself.
Let's say 1% of there total money they paid went to the property then really they own 1% of the property.

 

[Tram]

Oh btw do you hang out with them, do you visit them how close are you. If none of the above then keep quiet and just let the will payout.

 

[jaybee]

More good points raised, thanks.

A key point raised here is that the will is a gift, not a right.

Also, once the mortgage was paid off in 2003 the relative lived there since, so has benefitted massively in that respect with no rent or mortgage of their own to pay for over 20 years.

Thae way I see it, if they want to factor in costs incurred, they must factor in benefits too.

Using the inflation calculator I've worked out that in today's money they paid in £8,176.

I just need to look at the in hard maintenance they are claiming now, and explain that while this undoubtedly helped with the current value of the property, again they have benefitted.

I might suggest they contact British gas to ask about a refund on the gas they used

Were they ever named on official title deeds and/or mortgages relating to the property?

 

[BUDFORCE]

relative proposes, which is that because they paid into 7 years of a 25 year mortgage, a third of the current value should go to them,

I mean what they paid into a mortgage has no real bearing on the value of the asset.

Firstly it's probably not a 100% mortgage, the value of the mortgage won't correspond with the value of the asset.

Secondly houses appreciate, quite substantially in some cases.

You could roughly estimate it, but saying "I paid a third of the mortgage so I deserve a third of the property value" is daft.

 

[bainbridge]

Update:

The relative has changed their mind and no longer wants more than the will says.

I think that they just needed to digest the facts. I didn't need to raise a dispute, so fingers crossed that's the end of it.