My coworker shared that she and her mother co-own their house because her mom couldn’t qualify alone. Now her mom is very ill and wants her to remove her name from the title so that the assets can be split according to the mom’s wishes. The plan is for her brother, who lives far away, to get 50%, and the remaining 50% would be split between my coworker and her sister. I advised her that this doesn’t sound fair since she lives in the house and her siblings haven’t really helped out. I’ve got a few questions: A) If she keeps her name on the title, can her siblings push for a sale? B) What would happen to her ownership of the house if she stays on the title after her mother’s passing? C) What legal advice should she seek before making any decisions?
Any advice would be really helpful!
Edit: Thank you all for the great advice! I’m going to show her your suggestions and hope she takes the time to talk to a lawyer before signing anything.
> I told her that this sounds unfair because she’s been living in the house and her siblings haven’t been involved.
The issue is that your coworker has been living there and probably contributed to the home’s costs—whether that’s paying part of the mortgage or covering other expenses. If her mom wants her name off the title, there should be a fair buyout for her share. It’s not reasonable for her mom to ask her to leave without compensation.
If she didn’t contribute anything, that’s a different conversation.
@Toby
If there’s a mortgage, things get complicated. Her mom would need to qualify for the mortgage on her own, and then there’s the process of buying out the other share and transferring the title through a lawyer. It’s not an easy process, and the coworker has legal rights to her portion unless a buyout is done.
It can be done, though, if her coworker qualifies for the mortgage now. I went through something similar myself, and while the land transfer and fees were expensive, it was worth it to be done with the process.
She needs proper legal advice from a real estate lawyer. If she’s still on the mortgage, her mom can’t just remove her name without refinancing. And if her mom doesn’t qualify for a new loan, she’ll stay on the mortgage.
@Paz
I told her the same thing! She doesn’t handle conflict well and almost signed whatever her mom gave her. There might not be a mortgage anymore, though, because the house might’ve been paid off after a family tragedy.
@Lake
Even without a mortgage, she shouldn’t sign anything until she talks to a lawyer. Removing herself from the title without a proper agreement could be a big mistake.
@Lake
If there’s still a mortgage under her name, her mother will have to refinance before any changes can be made. She can’t just sign her share away.
Bryn said: @Lake
If there’s still a mortgage under her name, her mother will have to refinance before any changes can be made. She can’t just sign her share away.
If she wants to avoid conflict, she could just say, ‘I spoke to the bank, and they told me I can only be removed from the title if you qualify for a new mortgage on your own.’
If her siblings force a sale later, she’ll still get 50% of the equity from the house.
@Lake
If it’s joint tenancy, they both own 100% of the house together, which means if one passes, the other inherits the whole property without needing probate. If her mom wants to remove her, she’ll need to buy her out of her share. Otherwise, the house will automatically go to the daughter when the mom passes away.
That being said, if she didn’t contribute financially, she should consider what’s fair, but the mom should’ve known what co-signing with her daughter meant. If no agreement is reached, the siblings might push for a different division.
She should not remove herself from the title unless she’s compensated fairly. It’s like giving something valuable away for free. The answer should be no.
I’ve seen family members manipulate elderly parents for more inheritance, and it’s always a sad situation.
@Kiernan
We don’t know for sure if she has beneficial ownership. She might’ve just contributed to household expenses without paying towards the mortgage.
Abi said: @Kiernan
We don’t know for sure if she has beneficial ownership. She might’ve just contributed to household expenses without paying towards the mortgage.
If she took care of her mother or paid other bills, that’s still a contribution. It’s common in families for one sibling to do all the work while others expect equal inheritance.
@Kiernan
Contributing to household chores or care doesn’t automatically make someone a beneficial owner. It depends on the specific financial agreement.