Legal Question in Real Estate Law in California

A bankruptcy trustee may avoid it as a fraudulent transfer. I suggest speaking to a competent bankruptcy attorney before attempting something like that on your own.

Either the trustee or any creditor may attack the transfer as fraudulent, the latter whether there is a bankruptcy proceeding or not. One cannot transfer property at a below market price, or by gift, to friends, relatives or strawmen for the purpose, or with the effect, to "hinder, delay or defraud" an existing or possible near-future creditor. A court can set aside such a transfer, and both the transferor (you) the transferee (your sister) will be wrongdoers.

Transfers are fraudulent when, as a result of the transfer, the transferor is, or becomes, insolvent and unable to handle his/her debts as they become due. Of course, someone who is wealthy, or has no debts and expects none, doesn't commit fraud by making gifts, but when the purpose is clearly to keep property in the family at a creditor's expense, there can be a legal action to set aside the transaction and punish both participants. Check the Civil Code, sections 3439 to 3439.12.