Neighbor wants to give me his home. How do I do this???

14 Replies

Hello BP, my neighbor is an elderly man with cancer, and we have become good friends over the years. He came to me just yesterday and told me that he wants me to have his home after his passing, but he wants to continue to live in it until that day comes.

He says he wants to put the home under contract, give him a down pymt ?

He tells me that he doesn't want to move from the home and doesn't want it to go to anyone else, even his kids that don't like him for some reasons that he doesn't talk about.

What would be the best way to make this happen?

Find a local RE attorney, and tell him you 're buying (for $100)  the property, and the current owner gets a Life Estate.  He'll handle the pier work, contract, deed, etc.  get a title search/insurance to CYA, and make sure there are no liens, mortgages, judgments,etc.

Sounds a little like he wants to do a reverse mortgage type of deal.

Thanks @Wayne Brooks Monday cant get here soon enough. I just want to be sure to get it right.

The kids will be coming once he die.  The attorney is definitely required for the sale of the property.

I had the same situation come up with an old friend it was properties and accounts. When he got sick and getting down his wife divorced him and kids had no time for him.She was moving to another state.

      He talked it over with his ex and they had the bank set everything up,then they talked to me ,at the time thought  I would just be handling his money for him. it wasn't until signatures time that I found out the truth.

  

  

You need to be careful not to take any shortcuts.  Court rulings on this kind of thing can be all over the place depending on exactly how the deal is done.  Although Wayne could be correct in his advice, he may not be, depending on your jurisdiction and the way things play out.  You do not want to be caught in a bad situation where relatives are trying to take the property from you.  You need to talk to a local attorney to make sure this deal is done correctly and she will let you know the best way to handle this.

I am a little confused as to why you can't just be put in the will.  Any reason this wouldn't work?

The life estate was mine all you needed was a copy of the death cert

Some of the other deeds were joint with survivorship

Originally posted by @Wayne Brooks :

Find a local RE attorney, and tell him you 're buying (for $100)  the property, and the current owner gets a Life Estate.  He'll handle the pier work, contract, deed, etc.  get a title search/insurance to CYA, and make sure there are no liens, mortgages, judgments,etc.

Is there anything in particular the contract should entail?  

That's what the RE attorney is for.  Also likely will be some other affidavit, disclosure, etc., anticipating the heirs may try to attack it later.

Originally posted by @Matthew Anderson :

I am a little confused as to why you can't just be put in the will.  Any reason this wouldn't work?

Kids would likely come after the property after his death, claiming all kinds of things, it could get really ugly. One scenario would be the kids claiming the father wasn't of "sound mind" when he gave the property to the OP. There is too many things involved that can easily go unproven in court and the OP being good friends with the owner probably wouldn't be a good enough reason in the eyes of the courts if the kids sues.

Definitely get an good attorney and get it done right. I think something like doing a joint deed with survivorship would be the likely approach but your attorney will know.

Originally posted by @Nick Harrington :
Originally posted by @Matthew Anderson:

I am a little confused as to why you can't just be put in the will.  Any reason this wouldn't work?

Kids would likely come after the property after his death, claiming all kinds of things, it could get really ugly. One scenario would be the kids claiming the father wasn't of "sound mind" when he gave the property to the OP. There is too many things involved that can easily go unproven in court and the OP being good friends with the owner probably wouldn't be a good enough reason in the eyes of the courts if the kids sues.

Definitely get an good attorney and get it done right. I think something like doing a joint deed with survivorship would be the likely approach but your attorney will know.

 That is true regardless of whether the transaction occurs through probate or through a contract with nominal payment. Either way, the kids may raise the issue of this appearing to be an underhanded deal.  Whether he he puts you in his will or makes another legal arrangement for you to take the property, he needs to be speaking with an attorney to make sure that this is clearly evidenced to be an independently counseled decision with witnesses who can demonstrate "sound mind."  All of these things, btw, are specific to your state's laws concerning these matters.  Definitely have him consult a qualified local attorney.

Anticipating a contest by offsprings can be addressed in a straightforward manner now. 

One way is to videotape a meeting with the grantor in the presence of his attorney. Have any child present, too. They will feel part of Dad's wishes and not excluded, often a source of conflict in a will contest. 

Structuring is for competent legal counsel to advise on. I'd go for a trust with possessory rights for time certain not a life estate, but that's just my preference. 

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