Legal Question in Real Estate Law in California

Re: Adding name to the deed

Let me give you a short list of some of the factors to consider:

(1) Adding you to title would trigger a reappraisal of the property, and your interest in it (probably a 1/2 interest, although it could be whatever your partner decided to give you) would be reappraised at current market value, which could mean higher property taxes.

(2) There could be a gift tax issue. Keep in mind that recorded transactions sit there in plain view for the IRS and FTB to notice and ask about.

(3) The mortgage probably has a "due on sale" clause that probably says it becomes due and payable in full upon the transfer of the property or any interest therein except to the owner's living trust. Not all mortgages (well, notes and deeds of trust) are the same, but some restriction of this sort is common. Lenders may waive the provision on request, or they may waive it for a fee, or they may not notice the transaction, but it is a factor to consider.

Without nowing your ages and a lot of financial facts regarding the house, I cannot give you very specific advice, but I'd suggest a written contract regarding your financial affairs, supplemented by separate but coordinated revocable trusts that would provide what amounts to a life tenancy (at least) to the survivor if one of you should die.

With the right contract, transferring a part ownership now becomes less important, and whether you do it or not may boil down to whether you can deal with the tax and mortgage issues.

Re: Adding name to the deed

I recommend creatin g a family trust, especially in your situation. We specialize in trusts and estates and serve many same-sex couples. The only way that you are going to be able to make crucial decisions together, and for each other, is with proper estate planning.

I explain many of the possible problems on one of our firm's sites SameSexRights.com.

There is also a plethera of information about trusts, wills and estates on our firm's main page, No-Probate.com.

Pleae feel free to contact me through either site or through the contact info provided by LawGuru.

Scott

Re: Adding name to the deed

You can add your name to the deed. You can also continue paying the mortgage.

However, complication frequently arise when partners are married, much less just living together.

You have a lot of possible complications. My suggestion is you see a family law attorney, or real estate attorney, preferably one who specializes in both, both going any further. You have a lot at stake.