Life changes fast, and chances are some of those changes will call for a reexamination of your assets and who has claim to them. As those life changes unfold, there are many reasons you may want to retitle your property to reflect those changes and your wishes. So when should you retitle property? And how do you go about it?
There are several ways to hold title to your property, according to www.bankrate.com: in your name alone, in joint tenancy (as with a spouse), or as tenants in common. That’s according to their article, ”How should you title your home?” When you’ve titled your property one way and it no longer fits your life situation or desires, it’s time to retitle.
Common Reasons to Retitle Property
There are many reasons you may want to retitle your property; here’s a closer look at the most common reasons. According to www.wealthpilgrim.com, “When And How To Re-Title Your Assets,” you’ll want to retitle your property whenever you want to change the ownership of it.
- You get married and now want your spouse to share ownership of your property.
- You’ve created a living trust and you want it to control your assets. The title for those assets must also be changed, or your heirs could lose much of the value of the asset as the property goes through the long process of probate.
- You want to share your assets with someone for any reason.
- You want to transfer property to an LLC, for example, to limit liability if someone is injured or sues the property owner for another reason.
- Your spouse or you have a high-liability occupation and you don’t want to risk the property.
These are a few Instances when you may want to turn your attention to retitling a property to better reflect your stage of life or your particular needs.
How to Retitle Your Property
Is it time to retitle your property? According to the Bankrate article, while it may be a relatively affordable and simple process, be sure to inform yourself. You don’t want to take risks with your assets, or potentially risk foreclosure through missteps, so consult with a title insurance company you trust, an accountant possibly and/or a legal professional who specializes in real estate matters. And know that removing someone from the deed may be nearly impossible as you would need their consent. In addition, keep in mind there could be tax implications for the changes you make and other unexpected outcomes to anticipate. Being prepared and backed by a team of experts you trust is your best bet for navigating a title change.