The importance of planning who will inherit property

On Behalf of | Dec 16, 2016 | Blog

Nevada landowners might try to take a shortcut in their estate planning because the process seems stressful and complicated. They might think that writing a will that leaves their property to be divided equally among their heirs is sufficient. However, a problem can arise if there is a piece of property that the survivors will own as tenants in common.

As long as everyone who shares the tenancy in common is in agreement regarding the use of the property, there will be no problems. However, if owners have conflicting ideas about what they want, then the property could be parceled up between the owners. A judge might force a sale. If a majority of owners want one thing and one owner does not, the wishes of the majority do not override the wishes of one owner.

This is where a more carefully considered estate plan would help. For people who own a piece of property like a ranch, they might want to think about succession planning and how the process can be as seamless as possible. For a family home or another piece of property, they might consider other variables.

One thing a person may want to keep in mind is that talking to family members about will planning and the overall estate plan can help. Doing so gives loved ones an idea of what to expect and the rationale behind decisions and may make it less likely that one will challenge the plan. For example, people might decide to leave the family home to one child who they know will want to live in it and a different to a child who would be uninterested in the home. They might also want to consider a trust as a way of better controlling how assets are distributed.