Expert: Dottie Worthington - 12/4/2004

Question
Hi. I own (have title to) a home that I would like to transfer to my mother and her husband. The house is paid for and I have the title. There is no outstanding mortgage. I want to do one of two things: (1) transfer the the title directly to her and her husband with no equity payment to me, or (2) Transfer the title directly to her and her husband but with the expectation that I am paid a certain dollar equity amount either in installments or as a baloon payment at some date in the future.

What are the legal documents I would need to make these transactions? I think I need just a Grant Deed for (1) but need the Grant Deed and a Prommisory Note for (2). Is this correct? Thanks...

Mark

Answer
Mark:
If you transfer the deed without a lien, then they own the property with no recourse on your part. I would get a Title Company in your area to draw up the papers for you with a lien attached for the amount that they would owe you and they can run an amortization schedule for you showing payments expected to be made and when.