QUESTION
How do I buy my sister out of our parent’s house on mortgage where both of us are named as beneficiaries?
Asked on Mar 17th, 2014 on Estate Planning - Idaho
More details to this question:
Our father passed away in 2011, my sister and I are named as beneficiaries to the house I have lived in and paying the mortgage note for 23 years. We have agreed that I should buy her out. How and where do I start the process?
14 ANSWERS
It is not as simple as getting an appraisal and then given her 1/2 of that amount. You might have some right to credit or reimbursement for all the mortgage payments you made. There is a question as to whether it was a gift or you intended to be paid back at some time. The property has to go through probate for the title to change to you and your sister. You probably need to see a probate attorney for an hour consultation to figure out what the situation is. Your can read sections from some probate books written for the lay person, such as from Nolo Press, so that you know what questions to ask the probate attorney.
Answered on Mar 19th, 2014 at 3:17 AM
Edwin K. Niles
A bit complex for this forum; please see a lawyer.
Answered on Mar 19th, 2014 at 3:17 AM
2 Awards
First step see an attorney. It depends if the property was in trust or just your father's name. If a trust, the trustee can work with you (and an attorney) to open escrow and transfer the title. If the property is in your father's name, you will need to go through probate.
Answered on Mar 18th, 2014 at 4:44 PM
Taxation Attorney serving Charleston, WV
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C. Page Hamrick III
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You can purchase your sister's interest in the property and she would execute a deed to you, which would be recorded in the local county clerk's office. You probably need to have the deed prepared by an attorney.
Answered on Mar 18th, 2014 at 4:43 PM
Probate Attorney serving Newport, OR
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Minor, Bandonis & Haggerty P.C.
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Depends on how you mean "beneficiaries." If you and your sister are devises in your last-surviving parent's will. Or if there was no will and you are heirs at law, then you need to probate the estate of the second of your parents to die. If the house was held in trust, then the trustee can handle the transaction for you. Getting legal advice to help with this situation is a very good idea; it may save you money over all, and may preserve your family intact.
Answered on Mar 18th, 2014 at 4:42 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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First you should have an appraisal of the property to determine the value of her share of the property. Second, you will need to obtain the services of a probate lawyer to finalize the title into your name by court order.
Answered on Mar 18th, 2014 at 4:41 PM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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It sounds like the house is still in your father's name. First, you need to have the county probate court issue a certificate of transfer putting the house in your name and your sister's name as "tenants in common". Then you need to make a deal with your sister to pay her for her 1/2 the house and she'll issue a deed to you for that 1/2.
Answered on Mar 18th, 2014 at 4:39 PM
Thomas Edward Gates
You get an appraisal for the house and divide by two. Then you get a Quit Claim Deed and have her gift her share over to you. You file the Quit Claim with the recorder's office.
Answered on Mar 18th, 2014 at 11:32 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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By conferring with an attorney. The process will depend on the present titling of the residence.
Answered on Mar 18th, 2014 at 10:48 AM
Determine a fair price for the property, either the county assessor's value or an appraiser's estimation of value, and adjust for any expenses you have paid on the property since your father's death and the benefit you received by living there. Once you have agreed upon a price, have your sister sign off on the deed in exchange for your payment to her. Then register the documents with the county recorder. It's helpful to have someone who's done this before help you with the process.
Answered on Mar 18th, 2014 at 10:38 AM
Commercial Attorney serving Chicago, IL
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Ashcraft & Ashcraft, Ltd.
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The house must be transferred out of your father's estate to the named beneficiaries. Your sister then executes a deed transferring her interest in the house to you in return for an agreed compensation.
Answered on Mar 18th, 2014 at 10:36 AM
Bankruptcy Attorney serving Alpena, MI
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Carl C. Silver Attorney at Law
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Establish an amount and go to the bank.
Answered on Mar 18th, 2014 at 10:35 AM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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A lawyer would probably be a big help. The lawyer can draw up an agreement between the two of you and help you to prepare a deed for your sister to sign. You do not say HOW you and your sister are named as beneficiaries. If it was done by Will, then you would need to go through probate to get title. If it was done by deed, then the deed should be reviewed by the lawyer. It may be as simple as your sister signing a deed over to you in exchange for the agreed upon price.
Answered on Mar 18th, 2014 at 10:21 AM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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I suggest you go to a local real estate attorney. You will need to figure out what the house is worth, what you have paid on it (only principle should count), subtract that amount from your half from the value and pay your sister half of the remainder. She may or may not agree and you may have to pay her a little more to get the deal done. When you have the amount figured out, the attorney can prepare an agreement of sale and then the deed for her to sign over to you. I would imagine that a quitclaim deed would be sufficient.
Answered on Mar 18th, 2014 at 10:20 AM