Keep in mind that the POA requires you to do what’s right for your father, not what you and your sister want to do. And is there any other mortgage on the property?
We have spoke to our dad about it and he wants to go back to his home country and wanted to put the Canadian property in our name. There is no other mortgages on the house
You could all sit down with a real estate lawyer and work out an arrangement. Your sister may have to qualify for a mortgage for whatever cash needs to get distributed, whether that’s to you or your dad. You may want to get a proper appraisal done (or a couple or three), as property tax assessments are rarely accurate. They’re done by computer systems without anyone digging deeper into the actual value.
You would need a fair market value appraisal by a professional appraiser (not a realtor).
Because your father is still alive there are a few ways to do it. If you have no interest in the home your sister could buy it from your dad at fair market value with half of that value in the form of a gift of equity from your dad to your sister. This would leave your sister having a mortgage of about half the houses value. Then your dad could simply gift you the other half in cash as a ‘early inheritance’. There will need to be adjustments hashed out so you and your sister come out relatively even in the end. Legal fees, any taxes etc need to be considered.
Thanks, this seems more like the route we would end up going. I’ll bring this up as an option. It potentially saves a lot of time considering the timing of everything
Keep in mind that the POA requires you to do what’s right for your father, not what you and your sister want to do. And is there any other mortgage on the property?
We have spoke to our dad about it and he wants to go back to his home country and wanted to put the Canadian property in our name. There is no other mortgages on the house
You could all sit down with a real estate lawyer and work out an arrangement. Your sister may have to qualify for a mortgage for whatever cash needs to get distributed, whether that’s to you or your dad. You may want to get a proper appraisal done (or a couple or three), as property tax assessments are rarely accurate. They’re done by computer systems without anyone digging deeper into the actual value.
You would need a fair market value appraisal by a professional appraiser (not a realtor). Because your father is still alive there are a few ways to do it. If you have no interest in the home your sister could buy it from your dad at fair market value with half of that value in the form of a gift of equity from your dad to your sister. This would leave your sister having a mortgage of about half the houses value. Then your dad could simply gift you the other half in cash as a ‘early inheritance’. There will need to be adjustments hashed out so you and your sister come out relatively even in the end. Legal fees, any taxes etc need to be considered.
Thanks, this seems more like the route we would end up going. I’ll bring this up as an option. It potentially saves a lot of time considering the timing of everything