Legal Question in Real Estate Law in California

Re: joint tennant on bank accounts

This type of planning is a disaster. It can lead to all sorts of problems, particularly on the rental property. You mother should transfer her property to a living trust which states her testamentary plan. The current arrangement is a ruse. Besides, you will enjoy very substantial tax benefits if you receive the properties after her death through an after death gift. The trust need not cost her much.

Re: joint tennant on bank accounts

The answer to your question is YES.

Nevertheless, Mr. Roth is absolutely correct that your mother and you should not depend solely on the effect of joint tenancy to carry out her estate plan. Anyone with enough property to have "several" rentals should invest a little in getting sound, professional estate planning, including advice on inheritance and property tax matters.

Another problem for you is that property can be taken out of joint tenancy by one joint tenant and converted into a tenancy in common (without right of survivorship) without the permission and perhaps without the knowledge of the other joint tenant.

Re: joint tennant on bank accounts

It appears your mother would do well by creating a trust and a will that will specifically state her intent following death or incapacitation. She should specifically exclude in those documents, persons she does not wish to share her property, including rentals and bank accounts. Call to discuss. Don Holben

Re: joint tennant on bank accounts

Generally, joint tenancy will mean that you will own the properties upon her death. You do have other issues to be concerned with, such as estate taxes and capital gains taxes, depending on the size of the estate.

It might be wiser for her to own the properties in a trust, which would allow for a step up in the basis at the time of her death, and still acheive her goal of leaving everything to you.

Get some professional, one on one advice from an estate planning attorney.