If you do not think that you have enough assets to create an estate plan, chance are that you actually do. One big item that you will want to ensure makes it into the proper hands is your home. Thankfully, there are many ways to do so in order to avoid legal complications. Here is what you need to know about leaving your home to someone through estate planning.
Establish Joint Ownership
You may not be aware that property that has joint ownership will automatically go to the other owner if someone were to pass away. This means if you want to ensure your home belongs to your child, you can actually put the home in their name as well. It will be the fastest way to transfer ownership, because they technically are already an owner before your death. Passing away will simply make them the only owner of the property, giving them complete ownership of the home immediately.
Use a Will
The easiest way to ensure someone receives your property is through a will. Of course, the ease comes with the documents you need to produce in order to make it all happen, not the process for the person that will receive the property. There is a legal process, known as probate, which is when a will is formally read and an action plan is determined to divide assets.
One thing to consider is that all of your debts must be paid by your estate when you use a will, so there is a chance that property may not reach the intended person. For instance, if you owe more money than you have, assets will need to be sold to pay for those debts.
Use a Trust
Another option is to place your assets into a living trust. This actually gives you control of assets before you pass away, letting you make changes to who is in the trust up until you pass away. Many people prefer this option, because property passes on to the people that are you intend to receive it without going through probate. It's another way to easily transfer property to ensure the person that you want to receive it will get it.
For help setting up a will, trust, or joint ownership of items, reach out to a local firm, like Thomason & Hessmer, that specializes in estate planning. They'll be able to walk you through the entire process to set these things up.Share
29 September 2018
If you are like most people, you might wonder how iron clad that real estate contract is, especially when it involves strange additions or stipulations you have never heard of before. Fortunately, I have always worked with a real estate attorney who understands how to ward off problems, and it has really improved my ability to buy and sell real estate. After I find a great house, he helps to draft the contract so that it helps my case, and it has really made a big difference for me. Check out this blog to learn how a real estate attorney could help you.