If you have made the move to Lanzarote but still own a property in the United Kingdom, that property is likely one of your most valuable assets. Whether it is lived in by a family member or rented out to provide an income that funds your life in Spain, it deserves proper safeguarding.
Many expats assume that a simple Will is enough. However, for UK property owners now living abroad, a Will alone may not offer the full protection you need. This is where placing your property into a UK Trust becomes a wise and practical step.
The advantages of a UK Trust for expat property owners
A Trust is a legal arrangement that gives you control over what happens to your property and other assets, both during your lifetime and after. For British expats living in Spain, the benefits include:
- Avoiding probate delays. When a property is held in a Trust, it does not usually need to go through the probate process. This means your loved ones can avoid the long waits and significant costs that often come with UK probate, especially difficult when you are living overseas.
- Protecting your intended beneficiaries. A Trust ensures that your property passes only to the people you choose. It cannot be diluted by divorce or separation, whether that is your own marriage breakdown or that of your children or other chosen beneficiaries.
- Tax efficiency for married couples. If you are married, holding your UK property correctly at the Land Registry (usually as tenants in common rather than as joint tenants) means there is no immediate tax on the full value of the property on the first death. When passing to children on the second death, inheritance tax is only payable if the total UK estate is worth more than £1,000,000.
- Protection for unmarried couples. If you are not married but have children you wish to inherit, a Trust can again make sure that your wishes are honoured. These arrangements are more complex than a Will alone and are always set up alongside your own UK Will. If you already have a Will, an update to place your property into Trust may be all that is required.
How CJH Consultancy can help you
A personal conversation is always arranged, either here in Spain or in the United Kingdom. The process begins with a free initial meeting at one of their offices or via Zoom, so they can understand your global picture and recommend exactly what services you need.
If you already have a UK Will, it may still be adequate with a simple update to place your property into Trust. If you have no Will at all, now is the time to act.
Do not leave your UK property unprotected or risk passing the wrong assets to the wrong people. A properly structured Trust, combined with Wills in both the UK and Spain, gives you peace of mind that your wishes will be followed and your loved ones will be looked after.
You can speak directly to Colin and his team via WhatsApp on +44 7762 059608 or arrange a Zoom meeting. More details are also available on their website.
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