Legal Question in Real Estate Law in Connecticut
My parents have purchased out right a home with my sister and her husband. My parents paid 2/3 of the cost and my sister and her husband paid 1/3 of the cost of a very expensive home. My parents have informed me that when they pass their estate is to be split equally amongst myself and my three siblings. This means that my sister, my two brothers and I will each inherit 1/4 of 2/3 of this house. My mother has informed me that it is her intention that my sister and her husband buy out the three brothers' shares of the home with her share of the inheritance. While this is my mother's intention it is not noted in any wills and I do not trust that this is the intention of my brother in law. Is it possible to draw up a legal document that,at the death of our parents the document would legally bind my sister and her husband to
1) buy out my (and the other two brothers') inherited share of the house within a set period of time?
Or
2) Sell the house within a set period of time and split the sale of the house with me and her other brothers if unable to buy out my (and the other two brothers) inherited share?
Also, I do not want to find myself responsible for property tax on this home or any loans of equity taken on the home. Can the document prevent my sister and her husband from taking out a line of equity beyond their 1/3 share of the house?
Who should be signatories to this document? My parents? My parents and my sister and her husband? Or my parents, my sister and her husband and my brothers and myself?
This has the potential of being a very destructive situation that is already having consequences on our family. If it can be resolved now, while everyone is alive and sound, we can have some more happy memories together as a family.
Thank you.
2 Answers from Attorneys
This can very likely be resolved with relative ease. You simply need the testator of the will to execute a codicil which is an ammendment or adendum to the original will document. Contact us for further information. 203.521.4915
Your parents need to each draft a will that is very specific as to what happens to the property and each share upon their death. It also should state who is responsible for any taxes, maintenance, upkeep and liens, mortgages and home equity loans. Since your parents will most likely draft "reciprocal" wills leaving everything to each other first, what happens to the property when only one of your parents remains alive should also be included.
I would also recommend that your parents have some type of contract with your sister and her husband as to what happens to this property and the expenses that go with it while they are both alive. They may want to treat the arrangement similar to a business entity so that the terms are clear as to who is responsible for what. However, any document that is created should be executed with the same formalities as a deed to real property, otherwise there is a risk that if the formalities of execution are not proper, the validity of the document could be attacked later on. Finally, as your question indicates, you don't want a situation to develop in which your sister and her husband liquidate any equity in the property by having the ability to take home equity lines of credit and so on.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
