Legal Question in Real Estate Law in California
My mother recently passed away and left my brother and I her home. So I moved in the home with my children to care for the home. Do I have to pay rent to my brother for his portion of the home? Can he rent his portion out while I'm leaving in the home?
2 Answers from Attorneys
You have to probate the Will so that legal title is changed [and file a form out with the assessor of a parent to child transfer so no re-assessment of the home]; before that occurs, you owe the estate a fair rental value for living in the house. Once the assets are probated, if you share equally in the Will, the you will get back have the rent you paid to the estate and you can live in the house rent free. Your brother also has the right to live there, so technically he could rent out the house too, but who would move in with your being there? You do not have to pay rent to your brother as you have a right equal to his to live there.
I agree 100% with Mr. Shers' answer insofar as it goes. However, you didn't mention whether the ownership of the home was in a trust or whether, on the other hand, it passed to the two of you under her will, or as a third possibility, whether your mother died intestate (without a will or a trust arrangement). In the end result, things will be pretty much the same, but procedurally there are very major differences, including whether a probate proceeding is necessary.
Keep in mind these basic principles of co-owned real estate: If X and Y are co-owners of "Blackacre," a hypothetical estate, either X or Y, or both of them, may live there. Neither owes the other any rent. Both of them may occupy any building or any room of any building on Blackacre. X and Y are involuntary "roommates" by operation of law. However, if X has moved in and decides to exclude Y, Y cannot just "barge in" to exercise his right of co-possession. Y must go to court and get an order declaring his rights, and the sheriff may be called upon to assist Y in gaining access and co-possession. Also, if either X or Y rents out Blackacre, or any part of it, to Z, a non-owner, the co-owner receiving the rent is obliged to share the rental income, after expenses, with the co-owner not receiving the rent.
I recommend that you obtain legal assistance to steer this inheritance through probate and updating "record title" down at the courthouse. Also, you may want legal assistance in handling future co-ownership issues or, alternatively, in terminating the co-ownership as amicably as possible by one buying out the other or by sale to a third party.