Legal Question in Real Estate Law in California

Changes in how title is held are made by deed. You and your sister should find someone to prepare a grant deed or quiutclaim deed transferring her share of title to you. The transfer can be done as a gift, or you can agree to pay her fair market value. The deed can be prepared by a real estate licensee, a title company, or an attorney.

If the mortgage is in your name alone, her giving up her part interest in title should not be a concern for the mortgage holder, but I would suggest contacting it to advise of the proposed change of ownership and be sure they have no objection.

Please also be aware that any change in ownership of real estate is likely to have tax consequences. The property tax might go up or down. The person giving up an ownership interest (here, your sister) will have a capital gain or loss to report on his or her income tax.

Finally, be sure that any deed you prepare is properly filled out with an accurate property description, and is signed before a notary and filed with the county recorder.