It is no secret that our economy has suffered. In the past few years many of us have been personally affected by the economic downturn and housing crisis. However, the American Dream of home ownership has not been lost. Many view this as the time to buy because home prices are at a low.
If you are buying a new home, there are likely many factors you are considering during the purchase, but have you stopped to think about how you want to take title to your home? What may seem like a minor detail is actually a decision that much thought should be put into.
For example, one way a couple may choose to take title to their home is as joint tenants with the right of survivorship. This seems great at first glance, for if anything happens to one of them the home passes to the other. But what happens after the death of the surviving joint tenant; do you desire for your home to be inherited according to the state’s default laws and for your estate to have to pay the accompanying probate fees? Or what if a creditor of one of the tenants goes after that tenant’s interest and the court orders the property sold?
A living trust may be a better way to own property to eliminate such risks. By creating a living trust, you are able to name whomever you want as beneficiary for the home. Whether you are purchasing a new home, or currently own a home, please contact our office to discuss your estate planning goals and the protections a living trust can provide for your home.