If my parents own a home and want to give it to the kids without them paying any
money, is the best option a quit claim deed?
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If my parents own a home and want to give it to the kids without them paying any
money, is the best option a quit claim deed?
Or what options are there to best solve the problem?
Asked on March 16, 2016 under Real Estate Law, New York
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
Speak with a tax adviser first: my understanding is that if you gift them the home without them paying fair market value for it, the value of the home will be attributed to them as income and they could get hit with a substantial tax bill--they may not pay money to you, but they will to Uncle Sam (and their state).
So, yes, you can quit claim it to them without them paying you, but there are economic consequnces to consider.
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