In asset planning in Fort Lauderdale, adding anyone to your real property deed, especially your homestead property, is a decision fraught with risks. One of the primary concerns in asset protection in Fort Lauderdale is the impact on capital gains taxes. When heirs inherit real property through a will and trust, they benefit from a stepped-up cost basis at the time of your death. However, by adding someone to the deed during your lifetime, a key advantage in asset planning in Fort Lauderdale is lost – the person added assumes the property at the original owner’s cost basis (26 U.S. Code Section 1014), thus forfeiting significant capital gain tax savings.
Moreover, in the realm of asset protection in Fort Lauderdale, adding an individual to your homestead property deed may lead to the loss of some or all of the 3% Save Our Homes cap, a valuable perk for Florida residents. This action can also make your property vulnerable in debt collection and include it as an assessable asset in divorce proceedings. It’s essential, therefore, to consider these implications carefully in your asset planning strategy in Fort Lauderdale.
For further information please contact Angela Soto, Esq firstname.lastname@example.org 954-567-1776.