Did you know that 50% of marriages in this country end in divorce? Subsequent marriage…
A timeshare is a property owned with others with certain rights to use the property. For example, this may be the right to use a vacation condominium one week out of the year, every year. Most timeshares are real property interests, which are deeded into the owner(s) name(s). Deeded interests can be sold, transferred and/or passed on to future generations. However, like any other piece of real property, if the timeshare is held in your name upon death, it will have to go through probate.
Oftentimes, it makes sense to add joint owners to the real property in order to avoid probate. If the real property is owned with some form of “survivorship”, this will help to avoid probate after one of the owner’s passes away. However, this will only delay probate until the surviving owner’s death. Also, if the property is in another state, it is possible that two probates will be required (one in the state of residence and one where the timeshare is located).
There are multiple ways to ensure that the timeshare does not become a probate asset. One option is he or she can add another person, such as a child, as a joint owner with right of survivorship to the timeshare. However, the parent would lose the right to control the property independently.
The other option is to create a revocable trust and transfer ownership of your timeshare to your revocable trust. This can be done by transferring the title via a new deed and naming the revocable trust as the owner. This option allows you to remain in control of the real property while ensuring your wishes for the timeshare are honored upon your passing. It can also avoid the need for a probate of the timeshare.
It is important that you understand your timeshare agreement before deciding to put your timeshare into a revocable trust. If you already have a trust, it is also important to transfer the property into the trust by way of property prepared and conveyance documents. An experienced Estate Planning Attorney can help you understand your options and how to properly carry out your goals.
By Marissa Kleiner– Guest Blogger