Expert: Hans Weber, Licensed Broker Associate - 4/15/2009

Question
I own a small home ($450,000 value) with my new husband that we presently
rent.  It has no mortgage; we pay about $7,000 taxes on it.  We live in my
home (about $600,000) value in a nearby town.  This house sits on 1 1/2 acre
and has taxes through escrow of a little less than $12,000/yr.  I would like to
sell this house to my son and his wife for $300,000 and maintain 1/2
ownership (on the deed) as a silent partner.  This way they would get the tax
benefit and would be the "owners" (I would will it to them).  If they sold it, I
would then get my share back.  Do you see problems with them getting a
mortgage or anything else if I stay on the deed?  Do you think I need to
specify $300,000 (this is market price now) or do I maintain 1/2 (that doesn't
seem fair if they live there 10-15 years and improve on it, but it is my
investment, too and I will help them.  Do you have any other ideas?  I am
about 10 years from retirement.  I would like to be in the smaller home and
help my kids out.  I need to make their mortgage affordable. We are in
Rockland County, NY.  Thank you, KJ

Answer
Hello KJ,

Thank you for your question.

This is a complicated scnario that will need legal advice from an estate planner to insure that what you want to happen will happen in the way you intend.

Sorry I can give you more info here, but it is very complicated and i would not want to guide you in the wrong direction.

Hans