Why shouldn't real estate be put in a child's name?

Answer 1

The main reason is that once the property is transferred to the child it becomes their property. That complicates the title since the child cannot execute a deed to transfer the property out of their name. If the property needs to be sold the court would require the appointment of a guardian who would need to petition for a license to sell the property. The court would review the reason for the sale and make certain the selling price is in the best interest of the child. If the license is granted the proceeds of the sale would be placed in trust for the child.