Posted on: 03rd Sep, 2009 05:04 pm
is it considered income if someone quit deeds their half of a house to the other owner?...this is a long one... ready?? my moms name and mine are on my house.. my moms name and mine are on the loan to the house. my mom and i both want my moms name off of the house. so i got a quit deed form for her to sign. i owe 72k and it is worth 127k. my sister tells me that many things can happen. first of all, since she is relinquishing her "equity" to me, i have to show her portion as income on my taxes for this year...
then she told me 13k of it can be considered a gift from her but the rest would be income. my mother has never paid a dime on my house for the 11 years i have lived in it.. only me. then she told me that the loan company would see that my moms name is coming off of it, and can refuse my loan and say it needs to be paid in full. i have never been late even once in 11 years!! never!! i live in nebraska.. and i need help fast!! my mother is ill but is still of very sound mind, but if my sister gets involved since she will be the one who does everything with her estate if she passes, who knows what will happen.
then she told me 13k of it can be considered a gift from her but the rest would be income. my mother has never paid a dime on my house for the 11 years i have lived in it.. only me. then she told me that the loan company would see that my moms name is coming off of it, and can refuse my loan and say it needs to be paid in full. i have never been late even once in 11 years!! never!! i live in nebraska.. and i need help fast!! my mother is ill but is still of very sound mind, but if my sister gets involved since she will be the one who does everything with her estate if she passes, who knows what will happen.
tall28qt
Welcoem to the forum
Nope.
When you sell they sell the house, thats when it is realized
Good luck and feel free ask
Welcoem to the forum
Nope.
When you sell they sell the house, thats when it is realized
Good luck and feel free ask
hi tall,
if you mother is transferring her portion of the property as a gift to you, then the gift taxes, if any, would be paid by her. you would not be responsible for the gift tax. as far as the loan is concerned, it's true that your lender may want you to refinance the loan if your mother's name is on the mortgage docs. if you mother's name is not on the mortgage docs, then you will not have to refinance it.
if you mother is transferring her portion of the property as a gift to you, then the gift taxes, if any, would be paid by her. you would not be responsible for the gift tax. as far as the loan is concerned, it's true that your lender may want you to refinance the loan if your mother's name is on the mortgage docs. if you mother's name is not on the mortgage docs, then you will not have to refinance it.