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Gifted property and equity line of credit dept

Posted on: 03rd Dec, 2009 03:34 pm
My brother has received our mothers house and property as a "gift" via an irrevocable trust. There is an equity line of credit on the house with an outstanding balance in our parents' names. Will he be responsible for paying off the equity line of credit balance? This is a California property.
Hi SLMcGee,

The home equity line of credit for the inherited property can also be paid off from your mother's estate. I would suggest your brother to contact the trustee. He will be the right person to help your brother regarding this.
Posted on: 03rd Dec, 2009 07:08 pm
indeed, any lien on the property would need to be paid off. that's not to say that your brother couldn't simply pick up the payments on that equity line and pay monthly. there's a choice there.
Posted on: 04th Dec, 2009 08:08 am
Check with the Trustee on that one.
Posted on: 05th Dec, 2009 05:17 pm
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