‘“Don’t you want any of it?”: My mom owns two properties and my brothers live rent free. How should we split the inheritance?

Hi Money Minder,

I need some advice on how to split my mother’s properties between my brothers and me. My younger brother and his family have been living in one property for 30 years, while my older brother lives with my mother in her second home. I suggested selling each property to them for a small amount, so everything is sorted when something happens to my mother. However, she asked if I want any part of it. I always assumed each brother would get a house, but they live rent-free, and I have my family and a mortgage to take care of. Would giving each brother a house (worth around 200k with no mortgages) and me having a life insurance policy worth 85k be the simplest way to divide everything?

Thanks,
House Dividing Dilemma Expert

Response from THE MONEY MINDER:

Hello There,

My sincerest condolences on the delicate situation regarding your mother’s properties and the future division of assets. It’s understandable that you are concerned about fairness and equality in the distribution of her estate. Considering your family’s situation with a mortgage and financial responsibilities, it seems like a fair and practical approach to suggest selling each property to your brothers at a nominal price. This way, each brother would have a property to call their own, and you could receive a life insurance policy to ensure some financial stability for your family in the future.

It’s essential to have an open and honest conversation with your mother and siblings about your thoughts and concerns. You can express your desire for a fair and balanced division of assets that takes into account everyone’s needs and circumstances. Emphasize the importance of planning ahead to avoid any potential conflicts in the future. By clearly outlining your proposal and discussing it with your family members, you can work together to find a solution that benefits everyone involved.

In the end, the most critical aspect is open communication and understanding among family members. By approaching the situation with a practical and realistic mindset, you can create a plan that ensures a fair distribution of assets while considering everyone’s financial situation. Remember, every family is unique, and finding a solution that works for your family dynamics is key. All the best from THE MONEY MINDER.