Legal Question in Wills and Trusts in Arizona

Re: Transfer property without will

Your family has been extremely lucky that this "plan" has worked for so long without incident. This plan is by far the most dangerous of all the do-it-yourself estate planning techniques I have seen.

*Do not continue with this method*

If you add your niece as a joint tenant she has the same rights to the property that you do. She can sell her half; she can go to court and get an order to sell the property and split the proceeds; if she files bankruptcy you could lose the house; the list of potential problems goes on and on.

And, if you think "those things will never happen to our family," then consider the tax problems. Do a google search for "step up in basis." By adding your niece to the title while you're alive, you destroy the step up in basis, which could cost your niece tons if she sells the property after your death.

There are MUCH better ways to accomplish your goal of giving the house to your niece after your death and still maintaining complete control of the property while you're alive. Possibly the easiest way would be for you to execute a beneficiary deed. Do a google search for "Arizona Beneficiary Deed" to learn more.

Estate planning is always complicated; please don't draft deeds on your own without the advice of an attorney.

I don't mean to pick on you; yours is not the first family to use the approach. Others have not been so lucky to have it work for so long.

Please see an attorney.

Re: Transfer property without will

This is not the best approach in most cases, that is, putting real estate in joint tenancy with an expected heir. It also does not resolve the other assets of your estate, and is dangerous. I have seen this approach be disastrous in actual cases.

A trust may be advisable, or a beneficiary deed. Both will avoid probate. See an estate attorney. I can not give a legal opinion on your estate without all facts and documents which are relevant. There are many other issues of an estate plan. What about medical or financial powers of attorney? What about a Personal Medical Directive? What about a will?

Disclaimer:

This message is not intended as legal advice to a particular person, but is only for general educational purposes, and therefore no attorney-client relationship is intended or created by this message. All questions submitted on Law Guru are anonymous, so the identity of the person posting an educational question is not known. See an estate attorney for specific legal advice in your case.

best regards,

James D. Jenkins