Real Estate News

Joint cottage ownership can make taxes complicated

> > Real Estate News > Joint cottage ownership can make taxes complicated

Joint cottage ownership can make taxes complicated

Joint ownership might sound like the easiest way to pass your cottage along to family, but it can actually create a lot of problems. Without proper written agreements, this can result in a loss of control of the property for either or both parties involved. It can also result in unequal treatment of heirs if the joint ownership is with just one child. Also, don't forget that, "Placing an asset into joint names will expose that asset to the claim of creditors of the new joint owner."

Joint ownership of a cottage can pose a host of unexpected problems

At our cottage north of Toronto, we have a neighbour – Ruth. We can all learn from her story. Ruth has five adult children: Paul, Judy, Ron, Kathie and Peter. A few years ago, she put the cottage into joint ownership with her oldest son, Paul. The reason? To avoid probate fees and facilitate a quick and easy transfer upon her death. While Ruth is at the cottage all summer, the kids aren’t using the cottage much. Judy, Ron and Kathie live outside of Ontario and rarely visit. Peter isn’t interested in the cottage and Paul’s work doesn’t allow him...

What you need to know about prefab cottages

It seems like prefab cottages are the hot topic these days, but are they actually a good idea? They are...
01/15/2019
Read

Home sales increasing in Kawartha Lakes

Home sales are on the rise in Kawartha Lakes! December of 2018 showed 19% more sales than December of 2017....
01/09/2019
Read

Current status of the markets

Which areas are buyer's markets? Which ones are seller's markets? Toronto Storeys has the numbers. They said, "CREA,the Canadian Real...
12/19/2018
Read