QUESTION
What happens to the proceeds of a house held in life estate at the time of sale when the owner of the life estate is still living?
Asked on Jul 19th, 2019 on Estate Planning - Minnesota
More details to this question:
My mother put her home in life estate with my sister and I in 1996. We are getting ready to sell the home and are wondering 2 things? Who is actually signing at closing- all 3 of us? my mom? my sister and I? How are the proceeds of the sale distributed? She is 91 years old and moving into an independent living apartment.
1 ANSWER
2 Awards
It is not clear what kind of life estate this is. If your mother signed and recorded a Transfer on Death Deed reserving a life estate to herself, only she need sign and only she is entitled to the proceeds. If you and your sister also have a current life estate in the property, all three of you must sign. Who gets what depends on how the three of you own the property.
Answered on Jul 20th, 2019 at 6:07 AM
This is general information. It cannot substitute for a personal consultation with an attorney. It is not intended to be legal advice or imply an attorney-client relationship.