Many parents want to know the best way to leave a home to their children. Before you make a plan, you should first be sure that your children actually want the property. We have seen too many parents take on unnecessary financial hardship in order to keep a home as an inheritance their children do not truly want.
That said, here are some of the most common ways to leave your home to your kids:
Will. You can leave real estate to anyone in your will. Once the will has been probated, your children will receive title to the property.
Trust. Using a trust is a convenient way to transfer property without having to go through probate. Title is transferred automatically upon a triggering event — in this case, the death of the original property owner.
Joint tenancy with right of survivorship. This method allows you to add your children to the property title while you are still alive. When you pass, the children become owners of the property as surviving joint owners.
Transfer on death deed. This allows you to name a beneficiary for your property without giving a present interest in it to the beneficiary. Upon your passing, the beneficiary takes title.
Life estate. You can transfer title to the property while you are still living, and retain the right to live there during your lifetime. After your death, the beneficiary owns the entire interest in the property.
There are pros and cons to each of these options. Deciding on the best option for you and your family should be done with the assistance of a Personal Family Lawyer®.
If you’d like to learn more about estate planning, contact a Personal Family Lawyer®today to schedule a time for us to sit down and talk.