 |
Mother Has a Two-Family |
| |
 |
My mom is 82 and has a 2 family house in Brighton, MA and it thinking about selling it and then going somewhere else to rent. The house is worth about $600K is not subject to capital gains and she want her 4 kids to have equally share in the proceeds when she dies. I am trying to convince her to allow me and to manage the house on her behalf where I will rent out both apartmenst and she will recieve the rent, becaue I would like to see the property stay in the family. I am wondering if there mitht be another option that gives her immeidate cash and her the kids get the house. I was thinking she sells the house to us for maybe 400K and it goes into some type of trust where we all manage it and maybe sell it later in a better market. I would be interested to hear if you have any advice on this situation. |
| |
| |
 |
You need to get guidance from a lawyer who specializes in estate planning. I can't tell what the situation is -- for example, I don't know why you say the sale would not be subject to capital gains taxes. If she's living in half of it, the other half is taxed as the sale of investment property -- and if her gain on her own half is more than $250,000, some of that will be taxable too. As for how to plan for later -- that really requires professional advice.
And beyond that -- property management is not always that easy, though you must have some idea of what's involved already, if your mother's been acting as a landlord. It's easy to get into problems. And judging from the letters I get, a place that's owned by several siblings often leads to differences of opinion and ends up making family trouble.
Talk to the right lawyer. |
| |
|
Edith
Originally published on March 29, 2008 |
| |
| |
|
Back to Summary
|
< Previous | Next > |
| |
|
|
