Posted on: 02nd Jan, 2013 09:03 am
My husband has a bit of a situation on his hands. He and his brother were raised together, but only have a common father. Father died in 2004. Husband and brother signed over their interests in a house to mother. Mother is my husband REAL mother, and stepmother to the brother. In the will, mother left everything to my husband and he was beneficiary to all of her financial matters. Husband does not care for the home, paid taxes for two tax years before moving to my city and has let brother stay there as long as taxes are paid. Of course, taxes have not been paid and now brother wants husband to sign "special warranty deed" so that he can get a line of credit on the home to pay off his debts. My husband has avoided paying taxes on anything that he didnt receive in hand (insurance, payouts, etc versus IRA monies/accounts that have been untouched). We want to make sure that we do not get a tax hit by signing this type of deed by taking responsibility for this home. Is this the best way to get the home out of "Estate of Jane Doe's" name and into the brothers, or is there another option. In speaking with brother, according to his lawyer, we would not have to pay a gift tax due to some kind of federal tax changes (we live in Texas).
Hi slbutler!
Welcome to forums!
Your husband should sign over the property completely to his brother so that he is no way responsible for it. Once the property goes away from his name. A warranty deed is a good option to get the property transferred to his brother's name.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
Your husband should sign over the property completely to his brother so that he is no way responsible for it. Once the property goes away from his name. A warranty deed is a good option to get the property transferred to his brother's name.
Feel free to ask if you've further queries.
Sussane
Welcome slbutler,
Your husband can even get in touch with a real estate attorney and take his opinion in this regard. The attorney will also let him know which deed option will be best suited for you.
Your husband can even get in touch with a real estate attorney and take his opinion in this regard. The attorney will also let him know which deed option will be best suited for you.