QUESTION
Can my mother sell me our family home for $1 if I am POA?
Asked on Mar 28th, 2021 on General Practice - Pennsylvania
More details to this question:
My Elderly father just passed. I was made Durable POA For my mother. She is 95. My family is moving into my family home with her to take care of her and to keep her from needing an apartment, Assisted Living, or a Long term care facility. She is competent and the home is paid for free and clear. Can she sell me the home for $1 and live with us? I have 4 siblings. Can they contest it? And can I buy it if I am POA?
1 ANSWER
If your mother is competent and not under duress or unduly influenced by you, she has the right to make whatever gift she wants of her property (selling you the family home for $1 when it is presumably worth much more would be considered a gift). Of course, your siblings could always contest it, and, on its face, it doesn't look good, and only looks worse becaues you have a poa and thus a fiduciary duty to act in your mother's best interests. Also, depending on how much the home is worth, such a transfer could have estate and gift tax implications.
Answered on Mar 29th, 2021 at 7:26 AM