Hi All,

I am hoping someone can give me some advice regarding an issue I currently have –

My in-laws plan to give us their holiday home to live in and we will repay them for the property with a loan at 0% interest.

The property is worth around 700K but we will repay them 500K in total. The 500k will be repaid with an upfront 80K payment directly to my in-laws and then they will loan us the remaining 420K over 17.5 years at 0% interest.

My question is simply is this possible and if so how can we ensure both us and my in-laws pay zero/minimal tax on the arrangement. I’ve heard a lot about the lifetime gift allowance and also about irrevocable trusts but would like to hear the opinion of some people more experienced with this type of situation.

Any help anyone can give us would be much appreciated.