If you are trying to figure out what is the best way to leave your home to your children as part of your estate planning process, you should first be sure that your children actually want the property. Too many parents take on unnecessary financial hardship in order to keep a home as an inheritance their kids don’t actually want.
With that being said, here are some of the most common ways to leave your home to your children:
Will. A will can be used to leave real estate to anyone. Your children will receive title to the home once the will has been probated.
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. With this method, you add your children to the property title while you are still alive. The children become owners of the property as surviving joint owners when you.
Transfer on death deed. This method allows you to name a beneficiary for your property without giving a present interest in it to the beneficiary. When you pass, the beneficiary takes title.
Life estate. You can transfer title to the property while you are still living, but 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 Family Business Lawyer.
If you’d like to learn more about estate planning, call our office today at (888) 597-9685 to schedule a time for us to sit down and talk. We normally charge $750 for a Family Wealth Planning Session, but because this planning is so important, I’ve made space for the next two people who mention this article to have a complete planning session at no charge. Call today and mention this article.