What happens to my taxes when I use a quitclaim deed to transfer property? The answer depends on a few factors, including whether or not you earned income on the property. Q: I bought a property for my niece some time ago. I paid for it with cash and she was paying me back in [...]
Quit claim deeds are a popular tool used by many, but in some cases a warranty deed is a better option. When a relative owns a home, should you quit claim that home to a child? Usually, you shouldn't use a quit claim deed to avoid estate planning issues. The better option is to work with an estate planner to determine whether you should keep the property, set up a trust or another mechanism to transfer property from a parent to a child. But usually it's not going to be a quit claim deed.
Transferring home ownership between family members can be problematic. Often, family members help each other out with a signature or by putting their name on the mortgage. However, you need to consider more than just a quit claim deed to transfer a title. Who is responsible for mortgage payments? Whose credit score will be affected by thy home loan? What happens if someone passes away? Who will inherit the property?
