If you are like many Americans, your home is your most valuable piece of property. It could be one of the main assets that you leave behind when you die.
Whether you want to leave your home to one specific person or hope that your heirs will split the value of the property after you die, there are numerous ways for you to handle the transfer of real estate as part of your estate.
The following three options are among the most common ways for people to handle real estate transfers while estate planning.
You can leave the home to one person or order in executor to sell it
The most basic way to handle a piece of real estate in your estate plan will involve naming someone to inherit the property. However, you might also leave it to the estate itself and allow the executor to sell the property and split the proceeds among multiple beneficiaries.
You can transfer ownership of the home to a trust
Using a trust to pass on your home can be a great decision in certain circumstances. A trust can help you bypass probate court requirements. It can also protect someone’s right to live in the property without inheriting its value and without giving them the right to sell the property. Finally, a trust also gives you the authority to bequeath the property to someone else or order its sale when the initial beneficiary dies.
You can change ownership paperwork to protect your partner
If you jointly own the home with a spouse or other partner, they will have to take special steps to remove you from the deed after you die. Executing a deed so that the two of you have joint ownership with rights of survivorship will ensure that your full interest in the property will pass cleanly and quickly to the other person at the time of your death.
Exploring these and other options for real estate can help you tailor the solutions in your estate plan to your financial and family needs. Your estate planning attorney can help you.