The house deed is currently in my name ONLY. I recently divorced- ( June 30, 2014, the divorce was signed my the Judge. ) We used a Quit Claim Deed to remove my ex. from the deed. But now I want to add my Son, so the ownership of the house will be just him and me.
Which form do I need to get to accomplish the above?
You can in theory record a deed that grants title from you to you and your son. However this can create adverse legal and tax consequences so I would caution you to get legal and tax advice before you do this. If your intent is to have the property transfer to your son at your death, there may be better ways to do this.
Possible legal problems
1. Your son's present or future debts if reduced to a Judgment could attach to the property.
2. The transfer will be held against you for several years and may make you ineligible for medicaid benefits should you need to apply. It can also make you ineligible for other government needs based benefits.
3. If not done properly, your transfer is a gift under tax law. This means that your estate will lose the step up in basis that would otherwise happen if the property transferred at your death to your son. Basis is the deductible portion of the cost of your house that you can deduct from the sales price when you sell the house to determine if you have a taxable gain. Currently your basis is your purchase price. If you gift 1/2 of the house to your son, his basis is 1/2 of your purchase price. If you son inherits the house, his basis is the value on the date you die, which should be much higher then your purchase price. This will mean that he could sell the house tax free around the time of your death, or wait a few years and at least pay much less tax due to the higher basis.
4. You will create a situation where you can't freely sell or refinance your house because now your son and his credit history will be involved.
5. You can sell your house and keep up to $250,000 tax free under the the law if you qualify. To qualify this has to be your primary residence and you have to have lived there for a certain period of time. By putting your son on the title you will be losing at least half this tax free income opportunity and you son will have to live there and make it his primary residence before his half share will qualify.
Depending on what your reasons are for wanting to put your son on the title, this may or may not be a good idea. Please consult with an attorney before taking this legal step. I suspect you are really trying to set up the house so it goes to your son when you die. There are deeds that will transfer the house on your death but you retain a present ownership. This can also be accomplished using a revocable living trust or a will.
What most people forget to factor in, is the high cost of care that most people encounter when they are elderly and their inability to continue to pay the cost and maintenance of a house. If your house is going to be your source of funds that will help you out when you need to retire and require more care, you should consider hanging on to the house as a needed asset. Don't assume that your health will be good, or that your son will somehow find a way to care for you at home or otherwise pay for your care. This rarely works out the way people assume it will.
The comments by this author to questions posted on Avvo are designed to foster a general understanding of what might be the law governing the area of the legal problem stated and suggest what might be the approach to finding a legal solution. Under no circumstances is this author acting as the attorney for the party who posted the question or as the attorney for subsequent readers to the question or response and no attorney client relationship is being formed. This attorney's comments are not intended to be a substitute for getting legal advice from a licensed attorney. A reader of this author's comments should never act on the information provided in these comments as though these comments were legal advice and should always seek legal advice in a personal consultation with an attorney in their jurisdiction before taking action. The information provided here is not intended to cover every situation with similar facts. Please remember that the law varies between states and other countries and is always changing through actions of the courts and the Legislature.
I agree with attorney Reisman. Putting your son on the deed is not a good idea. Schedule a consultation with an estate planning attorney.
How old are you and your son? Is this your only significant asset? I am not saying you should not consider a probate and estate planning lawyer but would want to know more about what you want to accomplish and why. You may have more/other reasons to put him on the deed than just ensuring that your son gets it when you die. I would suggest a lawyer who does general work first. You mentioned that this is a move following a divorce, there also may be issues related to your arrangements. There may be reasons to do it to give him an asset and if it is worth less than the maximum allowed for a one time gift, there may be few tax issues. I can think of multiple things that a good generalist should discuss with you before identifying the "right form."
Years licensed, work experience, educationLegal community recognition
Peer endorsements, associations, awardsLegal thought leadership
Publications, speaking engagementsDiscipline