It is important for everyone to put together a real estate plan to ensure that your family will be well cared for in the future. Regardless of your level of wealth, it is imperative to consider what you have and make a plan to provide guidance to family and friends about your choices. Without it, the court would have to intervene on your behalf to approve a particular decision, and state law would have to decide who would inherit your property.

Everyone needs to perform these four steps to make a plan.

Take inventory

Everything you own is considered part of your property and you need to make decisions about how to handle different items. If you own a home or other real estate, decide whether to give it to the beneficiary or sell it and add the revenue to other real estate assets. For jewelry, antiques, collectibles, artwork, or other assets, decide how to pass them and pay attention to locations such as vaults and safe deposit boxes. Gathering recent statements about banks, brokerage firms, severance pay and other accounts, heirs can find out where your money is stored, unpaid debt such as insurance policies, mortgages, loans and lines of credit. I will be able to grasp it.

Draft real estate planning document

Meet a real estate attorney for a will, a power of attorney, a living will or advanced medical directive, and one or more trusts if there are situations that may require minor beneficiaries or additional plans. Help us put together a comprehensive real estate plan that includes. Who wants to inherit your property, who should take care of your underage children, people you want to deal with your financial problems and medical care, if you become incapacitated, your property Should you be responsible for distributing your end-of-life care preferences?

Lawyers can discuss the pros and cons, provide advice on available options, answer questions about the real estate planning and management process, and suggest the most efficient ways to reach your goals.

Put the plan into action

After you create a real estate plan, you can fund the trust you created and, if necessary, rename the asset or asset to the name of the trust, to ensure that the plan runs as you wish. There are several steps. Also, review all financial accounts to make sure that the beneficiary designation is up-to-date and reflects your wishes. A real estate plan usually contains a reference to a memorandum that can be used to list a particular tangible property and the name of the person who wants to receive it. If you are a business owner, you should also ensure that your property plan and any business succession plan are coordinated with each other.

Check and update your plan

It’s important to prepare a real estate plan first, but make sure it still reflects your wishes, and you choose to help you with the people you have nominated and you receive the property. Don’t forget to review your plans regularly (best every year) to ensure that you’ve done it, but it still makes sense. Significant changes in life, such as marriages and divorces, the birth of children and grandchildren, significant changes in wealth levels, and changes in health, may require planning changes.

In addition to regularly self-assessing your real estate plan, check with your real estate planning lawyer approximately every five years. They will know if changes in federal or state law can affect your plan, and if your plan results in a change. Spending a little extra time on real estate planning can save you and your family significantly in terms of legal and tax efficiency after your death.

Real estate planning often evokes the idea that it is only applicable to complexity, high cost, and very wealthy people, but everyone has achieved their goals and trustworthy people in their lives and after their death. You can benefit from real estate planning that guarantees that you will be appointed to help them in both.

Garrett Spangler is West Capital Management’s Wealth Planning Director and heads the West Capital Management Planning Committee. In his role, Spangler works with clients in a variety of planning areas, including trust and real estate planning, asset conservation, income tax and liability exposure. Prior to joining West Capital Management, he was an Associate at The Erb Law Firm, practicing tax, real estate, and business succession planning with a focus on international planning for non-citizens and people with foreign assets. rice field. Spangler holds a Law School (JD) and Master of Laws (LL.M.) from Temple University’s Beasley School of Law and a Bachelor’s degree from Penn State University’s Smeal College of Business.

A simple 4-step guide to real estate planning

Source link A simple 4-step guide to real estate planning