Real Estate and Wills/Estate Planning

[Tony Miller]

Hi, I am looking for advice on this subject. I will speak with my accountant and lawyer but would appreciate input from those with more experience.



My Dad lives in a single family home that he owns outright. He also owns a condo (mortgage is paid in full) that is currently rented out. He is planning to move into the condo in the next year or so and then either sell the single family home or keep it and rent it out.



His will states that both properties will be left to me and my siblings when he dies.



What is the best way to minimize capital gains in this situation? Should we be added to the deed of the single family, the condo, or both? If yes, when should we be added?



thanks in advance...

Tony

 

[Thomas Beyer]

It would be advisable to get a lawyer involved. It would probably be a good idea to get on title with your dad as a co-owner so you can deal with leases, utilities etc. .. I think as a co-owner you pay no taxes on his death but the gains taxes will be payable on ultimate disposition based on a cost of 0. But I am not a tax expert .. Best to ask one.