Many families who envision making memories and spending quality time with loved ones dream of owning a vacation home at the beach or in the mountains. So what could go wrong? Unfortunately, from an estate planning perspective, many hiccups could potentially arise when a vacation home is involved. As you create your estate plan, consider very carefully how that beach house in Orange County should be handled after you pass away.
For the family that otherwise gets along well, many people fail to realize that issues can pop up down the road when it comes to the ownership of a vacation property. What are some examples of these troubles that might arise when a proper estate plan was not created? The following are just a few scenarios:
- One child wants to sell the vacation home and distribute the funds.
- One child does not want to contribute to the costs of upkeep for the vacation home, and this was not addressed in the parent’s estate plan.
- One child uses the property significantly more than the others.
- One child wants to buy out the other children, but they cannot agree on a fair price for the property.
- One child wants to rent the property when it is not in use in order to generate some income, but the other children do not.
Fortunately, a properly crafted estate plan can help ensure that your Orange County beach house passes hands with minimal issues or burden on your loved ones. Interested in learning more? Sign up for our free newsletter today!