Is it legal to win a house in a raffle?
Posted on 6th February 2019 at 21:58
Have you ever sold a property? Well, as many of our client’s will vouch, it can be a VERY stressful time! However, some would argue that, to take some of that stress away, you could always … raffle your property.
Right now, we know some of you are sat there in shock – we were too when we saw the news – but, for some people, this may be their best option.
Generally, in cases where people are not achieving the value they want for their property on the open market, they may choose to hold a private raffle. The rules are pretty simple: you pay the price for a ticket (which, having had a look into it, seem to vary from £2 to £25, depending on the property itself, and how much the owners are hoping to achieve), and you are in with a chance of winning the house at the end.
Unfortunately, all is not as it seems. Previous raffle holders have explained how the lottery extravaganza is not as glamorous as it first appears. With the Gambling Commission watching over prize draws, and HMRC able to take up to 12% tax, perhaps the profit margins aren’t as great as people would think.
Another thing that you would need to think about is the advertising costs associated with the campaign, and where these would come from. Obviously, if you make a lot of money from it then great, but if you don’t then you could even end up out of pocket!
And, for the consumers of us who would want to purchase a ticket (or two!), it is worth noting that most of the property raffles come with a large set of Terms and Conditions – including that they may postpone the prize draw (more than once, in some scenarios) and that they don’t even have to give out the main prize. For example, if the raffle did not make enough to cover the house, the owner may decide to just give out a cash prize instead. And no, the cash prize does not have to be the equivalent to the value of the house.
So, do you think it’s worth the hassle or trying to hold a raffle or would you rather be ‘old-fashioned’ and use a good ol’ estate agent to market and sell your property? Well, whichever way you choose, MG Legal, Solicitors in Lancaster, are here to provide you with a first-class service from our Property Team, with excellent fixed-fees.
OR if you’re lucky enough to win and want to protect your assets (now that you’re finally the owner of that 8-bed mansion that you’ve always dreamed of and never could have afforded by yourself!), contact our Wills team on 01524 581 306 for our fixed-fee Wills.
MG Legal – Your Local Solicitors
Tagged as: Conveyancing Solicitors Lancaster, Garstang, Longridge, Purchase, Sale, Solicitors in Lancaster, Wills, Your Local solicitors
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