Purchasing Parents House

[MikeM]

I've floated the idea with my parents about the posibility of buying their house. There are benefits from both sides in that my parents get some money to do with what they want in the twightlight of their years. They also live in the house as long as they both or either one is alive without paying. I obviously get the property when they pass on.

The value of the house is €190K and it's 40 years old. My question is what should I offer my parents for the property given that they are relatively young i.e. 61 and 65. I don't know what to offer but I thinking I should not offer the full amount as I'm missing out on potential rent and taking all other risks that go with property investment.

Replies would be welcomed as this is a sensitive issue and I want to give my parents the right amount.

Does anyone know of any hidden tax implications other that Stamp Duty and Legal Fees in purchasing a property in this way ?

Regards,
MikeM

 

[SteelBlue05]

Do you have other brothers\sisters who would be due inheritence based on the deaths of your parents? If not then why are you trying to buy?

If you do then will they not be opposed to this?

 

[MikeM]

I have brothers and sisters that may be opposed but my parents would love the extra money and I also get a property at a reduced price.

 

[therave]

can i suggest you pay them fair market value and then rent it back to them at a nominal rent a month and also draw up a contract that ensures they are protected so that if they chhose they can live there for life..
i do see a potentila minefield with the siblings but then that could be up to your parents to decide how their will's will share out their estate one theya re gone.