How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Christopher B, Esq. Your Own Question
Christopher B, Esq.
Christopher B, Esq., Lawyer
Category: Real Estate Law
Satisfied Customers: 2677
Experience:  associate attorney
84496330
Type Your Real Estate Law Question Here...
Christopher B, Esq. is online now
A new question is answered every 9 seconds

We want to buy property in Hawaii with my son-in-law. My

Customer Question

We want to buy property in Hawaii with my son-in-law. My daughter recently passed away and left him life insurance. We wanted to put $100,000 down and finance the rest. The mortgage company does not want him on the loan because he has only been self employed for 18 months but they will finance us to buy the home. They said we could put him on the title since we want him to have it when we are gone. They said he could gift me the $100,000. I can't afford a gift tax. Is it a gift if he is on the title? I am on his checking account so is it a gift? I can withdraw the money myself. I don't want to get too far into this without knowing.
Submitted: 3 months ago.
Category: Real Estate Law
Expert:  Christopher B, Esq. replied 3 months ago.

My name is ***** ***** I will be helping you tonight. Thank you for your question and for using justanswer.com.

If he gifts you $100,000 for the down payment then it would be a gift. Understand that the person receiving the gift does not pay any gift tax. First of all you can give away $14k per year without any gift tax and $5.43 million during a person life that goes toward the lifetime exemption before ANY gift tax is paid. It is unlikely anyone will pay any gift tax on this transaction unless there have been very large gifts given through his lifetime. It is possible that if you put him on the title that you would also be gifting him the portion that he receives of the house. Again, the same gift tax rules would apply.

Please let me know if you have any further questions and please positively rate my answer if satisfied. There should be smiley faces or numbers from 1-5 to choose from. This extra step will cost you nothing extra and will be greatly appreciated.

Expert:  Christopher B, Esq. replied 3 months ago.

Just checking back in, do you have any further questions?

Related Real Estate Law Questions