Real Estate Inheritance by your loved ones
What is the best way to prepare for your next of kin, family & loved ones to inherit Real Estate of yours. The article will highlight on all issues involved this important process. Regardless of marriage status, you should be well prepare of it. Lawyers & developers will give you a clear picture and scenarios that you loved ones will face when you pass on. It is a must do for both singles & marriage persons. Why so?
Assuming you want your family to inherit Real Estate. It could be landed house, condominium, HDB flat or other types. It will be appropriate to document your will, purpose and instate portion for each member. Whatever the of document that suit your recipients. It could be form of a will, a family trust or life estate.
Who will inherit property when "no will"
Before we talk about types of documents, Ms Jacintha Pillay, lawyer & a partner at Sim Mong Teck & Partners like to give you scenarios that point to the important of it.
As we know when a person passes on without making a will, property or Real Estate will auto distributed to next of kin. The recipients & share amount will be decided by court accordingly. It may or may not be as the decease’s wish but at that moment he/she can’t decide anymore.
Inheritance of by Law is this. I he married without children, half of it or 50% will be to spouse, where another half or 50% will be to surviving parent. He may want to give part of your Real Estate Inheritance to give all to spouse or other loved one. But this what Law says.
This is the point where you really need a plan or will to specifically give property inheritance to the right party.
How should Singles Do to
For Single (without child) every thing goes to parents by Law. If no surviving parent then sibling and so on. Sometime, the decease may want to give to someone or some organization to inherit property, that must be documented in will.
FOR THE Real Estate INHERITANCE OF PERSON BELOW 21 YEARS OLD
By Singapore Law, Only the person at 21 years old and above to have property or real estate inheritance. If you have child below 21 years old (minor) and want him/her to own property. You need to set a TRUST for this. Appoint one of your trusted lawyer to set for your minor. This is the only way to let you child below 21 years old hold a property.
But! hold on. Make sure you know the consequences of “Trust” first.
As we know, bank will not finance the property under Trust, make sur you prepare enough cash to finance you property.
Why, many buyers still buy for their under Trust?
It is known that property price in Singapore is moving up quickly. Much quicker that bank fixed interest, more stable than invest in Stock Market. Then, What will be the better way for your child to Inherit Property in the future at today price!
"Ultimately, the whole point of acquiring assets is to ensure there's a transition to your loved one."