If you’re currently completing your estate plan and intend to pass on property to loved ones, individuals or organizations, you need to be prepared with the most effective ways to transfer property like real estate. However, if you are anticipating receiving property from someone’s estate plan, you may also want to walk through the issue of expecting to inherit a home.
A proposition passed in 2020 changed the way that parents pass down homes with a very low property tax rate to children. This change Proposition 19 altered that, meaning that the value of the property is reassessed at the time of transfer, meaning that the property taxes could continue to rise along with it.
This can be very problematic for people anticipating to inheritance of real estate property when determining whether or not to sell or keep the new property. Inheriting a home that someone in your family may have bought decades before with a much more affordable cost of living and overall price may be the only way for some people to own a home.
However, think about whether or not you plan to live in the house you inherit or if you plan to rent it out. This could lead to unexpected property taxes, depending on your plans. Make sure you have clarity on all the possible consequences of transferring property to your heirs in California, especially when that include real estate.
Working with an experienced and knowledgeable estate planning lawyer can help you to structure your own estate plan and can make things easier for transferring assets to your loved ones in the future.
We know what it takes to personalize your estate plan to remain in line with your individual goals.
