Legal Question in Real Estate Law in California
Will there be a tax imposed on a quit claim deed home title transfer (in California) from a Brother to his Sister ? The property is paid off. If yes, what kind of taxes will be imposed? Is quit claim deed the best option to transfer property ?
Asked on 2/04/16, 12:52 pm
1 Answer from Attorneys
If the transfer is an outright gift there is no state documentary transfer tax owed, however there may be local taxes on the transfer. You would have to check with your county clerk/recorder's office. If it is worth more than $14,000 net of any liens or mortgage(s), the brother would also be liable for gift tax. Lastly, the property will be reassessed to current market value and most likely the property taxes will go up, possibly substantially.
Answered on 2/04/16, 12:58 pm