Reply To: Tax implications of adding daughters name on home deed

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#3145
kaneohe
Participant

https://www.google.com/search?client=safari&rls=en&q=tax+implications+of+adding+person+to+deed&ie=UTF-8&oe=UTF-8

Here are some articles about this subject. Note that at least one of them is fairly old so the numbers have changed
(but not the basic ideas).

One thing that didn’t seem to be discussed: if you gift part of the property, the basis on their share of the property is the same as yours, presumably much lower than cursrent value? If they inherited it , it would be at the market value at that time so they could sell w/o paying much taxes.
However, if you gift it to them now, their share would have a (much?) lower basis and they would pay more taxes when selling.

There is also a liability risk that if the child got in financial trouble, the creditor could come after the house.