Transferring a Family Home to Children
July 3, 2018
Hi. This is Legal Tip Tuesday. I’m Dave DeRose. I’m an associate (attorney) here at QuatriniRafferty and I’d like to give you a tip about estate planning. Many people over the course of my career have asked me, “Isn’t it a good idea that I transfer my family home to my children?” And that might be a couple, that might be a widow or a widower. The answer to that is complex. There is no “one answer.” It has some advantages, and it has some disadvantages.
One disadvantage is that your children could now own your home and if you have a disagreement with them, you may not be able to stay in your home. One advantage might be that you transfer your house to your children and you avoid inheritance tax if you live for more than one year. There are also some income tax issues, there’s an issue relating to nursing care if you would find yourself going into a nursing home and needing to apply for aid, and a host of other things. And that tells me that if you want this question answered, you need to come in, see me, and we’ll certainly talk about it and explore all of the pros and cons appropriately. Thank you.