Legal Question in Wills and Trusts in California

If you have sufficient other assets, the best way to handle this would be to leave the house to your son and an equal value of other assets to your daughter. If this is not possible, your son will lose the exemption from reassessment on the portion of the real property that he purchases from your daughter. I recommend that you consult a qualified estate planning attorney in your area to determine the best way to handle your estate plan.

There are many ways to do this, and it will be important to determine more specifics to select the most appropriate. A non proportionate distribution may avoid property tax assessment, that a sibling sale wouuld trigger. More facts are needed to determine the most effective method. If there are no property tax issues, a trust with an option to purchas ein your son would work well. You need to determine how to price the option ( fair market value at your death?, a fixed number?) and whether your son can pay for the purchase or could get outside financing. Should a note secured by the house be used?

All these are issues that should be discussed and decisons made with the advice of estate planning counsel.