Thursday, December 26, 2013

How Do I give my house to my children without tax consequences?


Lynn A. Dean
Attorney
Let’s say you own your home and the current value is $375,000.00.   If you set up a living trust, the house will pass to your children without the cost of a probate. If the house were your only asset, the attorney's fees for a probate would be $10,500.00!  There will be no estate taxes on your home, unless you have other assets that would cause your estate to be larger than $5 million. In certain cases, the children may be able to keep the property taxes at the same amount that you are currently paying. There is an exemption from increase in property taxes for property passing from a parent to a child. It would be wise to consult an attorney. It will save your children and grandchildren quite a bit of money.  I provide further information about probate on my website, including an easy to understand probate fee schedule.

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