Legal Question in Real Estate Law in Arizona

''Reverse'' Inheritance

My mother owns her home outright and has no cash. I have no home but good cashflow. She wants to leave th ehose to me and my 4 siblings. I send her a few thousand $ each month effectively buying equity in the home. SHould I seek an attorney and if so which kind to help me with any tax implications. A tax accountant, a real estate attorney, or a tax attorney? My siblings are good with the arrangement and she is 78 years old in good health. Any insights would be greatly appreciated.


Asked on 3/13/07, 4:19 pm

1 Answer from Attorneys
James Jenkins Jenkins Law Center PLC

Re: ''Reverse'' Inheritance

I see this as more of a contract matter than a tax matter. But consult with an estate attorney. There would be some capital gain issues if you are a part owner and your mother dies. Rather than buy a share of the home you might want to loan the money, secured by a deed of trust on the home. Heirs get a stepped-up tax basis of the present value at the time of death of the donor.

Best regards.

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Answered on 3/19/07, 11:46 am


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