Posted on: 05th Oct, 2010 10:03 am
i bought a house in ny a year ago and in order to secure the mortgage, my sister and i are on both the mortgage & deed. but i own the house. i took all the deductions & first time home buyer credit for the house and !00% of the downpayment & closing costs were paid by me. now, i'm ready & qualify to refinance by myself. i want to remove my sister's name from the deed (she's also willing) but my concern is the tax consequences. do i or her have to pay any taxes? thanks!
Hi wolfy,
You want to remove your sister from the property deed. As a result, your sister will have to sign a quit claim deed in your favor. If she transfers the property as a gift, then she will be liable for paying the gift taxes.
Thanks
You want to remove your sister from the property deed. As a result, your sister will have to sign a quit claim deed in your favor. If she transfers the property as a gift, then she will be liable for paying the gift taxes.
Thanks