Legal Question in Real Estate Law in Pennsylvania

Re: selling share of property to a family member for 1 dollar

This can be done simply by use of a Deed and an Affidavit of Consideration indicating the gift sales price. An attorney should be used in completing the forms and no broker is necessary. There may be some future income tax problems due to the favorable sales price (actually a gift), but they may be irrelevant if the house is being used as the primary residence of the future owner. This does not impact at this time on the title transfer.

Re: selling share of property to a family member for 1 dollar

In most cases, in NJ, you can sell property for under $100 without paying a transfer tax. A document, called an affidavit of consideration, needs to be prepared and filed with the deed. No realtor is needed. Most lawyers would charge $100 plus filing fees (approx. $70) to prepare and record the deed for you.

Good luck.

Re: selling share of property to a family member for 1 dollar

If you are the legal owner of the PA property, you may show any dollar amount as the consideration on the deed. However, on the transfer tax certifications, fair market value must be shown. Depending on your relationship to the person to whom you are deeding your interest, there may or may not be a transfer tax. In PA, transfer tax is based on the higher of fair market value or actual consideration, and, e.g., in Philadelphia, would be a total of 4%; in other counties it may be only 2%. Some deeds between family members may be exempt from transfer tax.

If the property is still titled in an earlier deceased owner, you would need to administer the estate, pay inheritance taxes, and make sure that all heirs of the deceased owner have consented to this transfer. You should consult a PA attorney to assist you in that case.

It is not necessary for family members to use a Realtor to assist them in an intra-family transfer of property.