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Children usually acquire an interest in real property only by inheritance.
Transferring title to real property to a child would actually complicate the title to the property and could result in legal costs down the road. A problem would arise if the property must be sold or if you decide to take the child's name "off" the property. At that time you will encounter legal difficulties.
Generally, if the property must be sold, a guardian would have to be appointed by a court to sell the property for the minor. Remember that the property will be considered the child's property. The guardian will need to obtain a licensefrom the court to sell the property. The court will require the appointment of a 'guardian ad litem' who would review the proposed sale and report back to the court whether it is in the best interest of the child. All those appointees would need to be paid for their services. There would be court costs and attorney's fees if you need to hire an attorney. After the sale, the court would require that the proceeds be placed in trust on behalf of the child until they reach the age of eighteen.
If nothing will be done with the property until the child becomes an adult, and it's a friendly conveyance (not one carried out to defraud or to purposely encumber the title), then there is no prohibition against it. However, if the conveyance is done to avoid creditors the court can void the conveyance and the creditors can seize the property.
There is one more factor to consider. Once the child becomes eighteen, they will become the legal owner able to manage the property on their own and the relationship may not be so friendly. They may refuse to convey the property back unless they receive compensation. Also, the property will become vulnerable to their creditors.
What else can I help you with?
Can a minor hold title of real estate property in AZ?
Anything younger than 18 is a minor. Until then they cannot contract or hold real property.
Can a minor hold the lien on real-estate property?
In most cases, a minor cannot hold a lien on real estate property because they lack the legal capacity to enter into a binding contract. However, a guardian or parent may be able to hold the lien on behalf of the minor until they reach the age of majority.
Does real estate pass on to spouse after death of husband?
It might. If they hold title as joint tenants or by tenancy by the entirity, yes. If they hold title alone, no. Those properties held by person get transferred to the estate, and the estate must go through probate court.
What is the difference between an co-op and a condo?
In a condominium, you hold title to your unit and own real estate in common with all other owners. In a co-op, you own shares in a corporation and are assigned a unit to which you do not hold clear title.
Can a minor buy a house CASH?
In most jurisdictions, minors cannot legally enter into contracts, including real estate transactions, which generally means they cannot buy a house, even with cash. However, a minor can have a property purchased on their behalf by a parent or guardian, who would hold the title until the minor reaches the age of majority. Some states may have specific provisions allowing for real estate transactions involving minors, but these often require court approval or other legal steps. Always consult local laws for precise regulations.
Who owns the title of the property?
Ownership of real estate is evidenced and accomplished by a deed. The person who transfers the property is called the grantor and the person who receives it is the grantee. In any deed, the grantee is the new owner. The owner of real estate is said to hold title to it.
What is the difference between a trustee and a custodian?
A custodian is always a person; one who has charge of something (a caretaker) of a minor child's estate or an absentee landlord's property. The custodian does not hold title to the property. A trustee is often an institution such as a bank, that holds legal title to a property in order to administer it for a beneficiary, or can be a member of a board elected or appointed to direct the funds and policy of an institution. [source: this information reprinted from Answers.Com]
What are real estate title companies?
Title companies research the chain of title for the property before a home is bought. They make sure there are no liens, clouds on the title, or other encumbrances by doing a title examination. Basically they make sure the record title is A-OK. They can also perform the closing and can also hold deposit escrow money while the deal is pending.
Can a lien be placed on a home own by two people when the other party is not involve in the debt?
It depends on how they hold title and the basis for the lien.It depends on how they hold title and the basis for the lien.It depends on how they hold title and the basis for the lien.It depends on how they hold title and the basis for the lien.
Can a 14 year old hold his own car title?
no, to hold a title you have to have a licence
Can you put four rental properties under one limited liability company?
Yes. However, you must consult with an attorney who specializes in business and real estate law who can draft your agreement and prepare the necessary registration documents. Any entity that is to hold title to real property must be properly formed in order to avoid creating title defects on the real estate titles. Title defects are costly to cure.
How many cities does Michigan hold?
Approximately 3,547
