Legal Question in Real Estate Law in Pennsylvania

selling share of property to a family member for 1 dollar

givng up property to a family member that has lived in it the past 15yrs. they have been responsible all taxes bill etc inquired in the house .can the transaction occur legally without the use of a realtor, What are the requirements/documents necessary to do this transaction. it originally is heir property. Can it be sold as one dollar


Asked on 1/31/04, 7:38 am

3 Answers from Attorneys

Walter LeVine Walter D. LeVine, Esq.

Re: selling share of property to a family member for 1 dollar

This can be done simply by use of a Deed and an Affidavit of Consideration indicating the gift sales price. An attorney should be used in completing the forms and no broker is necessary. There may be some future income tax problems due to the favorable sales price (actually a gift), but they may be irrelevant if the house is being used as the primary residence of the future owner. This does not impact at this time on the title transfer.

Read more
Answered on 2/02/04, 11:55 am
Lawrence Simon Law Offices of Lawrence M. Simon

Re: selling share of property to a family member for 1 dollar

In most cases, in NJ, you can sell property for under $100 without paying a transfer tax. A document, called an affidavit of consideration, needs to be prepared and filed with the deed. No realtor is needed. Most lawyers would charge $100 plus filing fees (approx. $70) to prepare and record the deed for you.

Good luck.

Read more
Answered on 1/31/04, 8:27 am
Miriam Jacobson Retired from practice of law

Re: selling share of property to a family member for 1 dollar

If you are the legal owner of the PA property, you may show any dollar amount as the consideration on the deed. However, on the transfer tax certifications, fair market value must be shown. Depending on your relationship to the person to whom you are deeding your interest, there may or may not be a transfer tax. In PA, transfer tax is based on the higher of fair market value or actual consideration, and, e.g., in Philadelphia, would be a total of 4%; in other counties it may be only 2%. Some deeds between family members may be exempt from transfer tax.

If the property is still titled in an earlier deceased owner, you would need to administer the estate, pay inheritance taxes, and make sure that all heirs of the deceased owner have consented to this transfer. You should consult a PA attorney to assist you in that case.

It is not necessary for family members to use a Realtor to assist them in an intra-family transfer of property.

Read more
Answered on 1/31/04, 2:47 pm


Related Questions & Answers

More Real Estate and Real Property questions and answers in Pennsylvania