What is the relative cost of improper Probate Property advice?
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Property is often the single largest asset for most people handling deceased’s estates. It therefore makes sense to seek the best advice and avoid the common pitfalls that many people run into when dealing with probate properties. There are a number of ways in which the beneficiary’s outcome can be disadvantaged, for example:
Undervaluing the property
If the Valuation Agency of HMRC feel that that the property has been undervalued, they will challenge this and request evidence to support the valuation. If HMRC finds that IHT has been underpaid, they can issue fines that are equivalent to 100% of the tax owed as well as claiming the unpaid tax liability.
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Overvaluing the property
The number of people claiming IHT refunds is increasing year-on-year; in the 2018/19 tax year it was 100% higher than the previous equivalent period! A contributing factor to this is properties that sell at a price lower than indicated within the overall valuation of the estate. HMRC will not automatically notify you of this, so it is important to establish an appropriate open market value from the beginning.
Probate homes being sold below their potential market value
This can be the most common issue and the one for which there appears to be little recourse; for now, anyway! Many beneficiaries report that they have followed bad advice and sold an inherited property for a fraction of its real value. They have been led to believe that selling quickly to cash buyers or investors is their only real option. This is especially true when dealing with a dilapidated family home and having insufficient funds to restore it to its prime condition that would enable benefactors to receive the full value of their legacy.
Aventria Property has been managing properties on behalf of clients for over fifteen years. In that time, they have heard many stories of how people have been unable to access guidance specifically relating to probate property matters. This is why they are now launching their new advisory eBook at https://aventriaproperty.co.uk/probate-ebook-ls
Managing Director Adam Cole commented ‘This exciting, new development will now allow the public to benefit from our years of experience within this field.’
There is a misconception that there are limited options for people dealing with the sensitive nature of probate properties and we aim to tackle this erroneous belief. At the end of the day, people are having to make tough decisions about family homes that are often intrinsically linked to their childhood or upbringing. We want to support this in a way that provides a better understanding of the available alternatives so that informed decisions can be made. At the very least we don’t want to see people making choices that they may later regret.
Aventria has been selling properties on behalf of their clients for over 15 years. In that time, they have successfully completed on over 10,000 property sale transactions. They also provide a range of associated property services, including fully funded, added-value renovations and guaranteed purchases. Aventria Property is a member of the Property Ombudsman Scheme. For more details visit http://aventriaproperty.co.uk/
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