Options for willing DVC to children

[pditullio]

My parents own 255 points at OKW (in 2 contracts). Right now their will says that the ownership will be bequeathed to myself and my two brothers (all of us having our names on the deed, and sharing those 255 points equally). Since this also means sharing the responsibility for MFs, and sharing the responsibility for banking, etc., I feel like this is just a recipe for disaster.

Is there a simpler way to do this? Is there a way they can split their 255 into 3 contracts or something, in order to divvy the ownership up more neatly? Or would they have to actually create three separate deeds? What are the options?

My DH and I also own 100 points at BLT, but that is not related to how they are going to work this (at least I don't think it would be...). Neither of my brothers is really involved with DVC (except for the occasional trip on my folks' points).

 

[BWV Dreamin]

You may want to consider putting all the deeds (and your home deed as well) into a living revocable trust. You can set the terms of how some of the hard to split assets can be divided.

 

[chalee94]

My parents own 255 points at OKW (in 2 contracts). Right now their will says that the ownership will be bequeathed to myself and my two brothers (all of us having our names on the deed, and sharing those 255 points equally). Since this also means sharing the responsibility for MFs, and sharing the responsibility for banking, etc., I feel like this is just a recipe for disaster.

true.

Is there a simpler way to do this? Is there a way they can split their 255 into 3 contracts or something, in order to divvy the ownership up more neatly? Or would they have to actually create three separate deeds? What are the options?

there is no way to split up deeds after the purchase. if they are made up of a 200 pt contract and a 55 pt contract...that is what you've got and what can be willed.

it would be better to have one or both DVC deeds willed to the child or two who actually want it. naturally, something else would need to be given up to accomplish this. otherwise, the beneficiaries who do not want the contract can force a sale to recover their share of the monetary value. then you can use your share of the cash to buy your own DVC contract.

 

[Technosavant]

true.

it would be better to have one or both DVC deeds willed to the child or two who actually want it. naturally, something else would need to be given up to accomplish this. otherwise, the beneficiaries who do not want the contract can force a sale to recover their share of the monetary value. then you can use your share of the cash to buy your own DVC contract.

I think this makes the most sense... will the DVC to one particular child, but that person must understand that other more permanent assets (since DVC contracts have a limited lifespan; it is an asset that continually declines in value depending on how much time is left) will need to be given up. The value of that DVC contract will be determined by the amount of time left on it (and points left, in case your parents went out with a bang and borrowed a bunch of points from the next year). If the other children would like their own DVC membership, they can use the assets they inherit to purchase one on their own.

Trying to split assets can be a real pain. My grandfather's ancestors owned an oil well and divvied it up equally to their descendants, and so on. The result is that he and others own a rather small interest- something like 1/12 or so of it, and the end result is that nobody gets very much from it. In a good year his oil man wealth will buy him one dinner at Cracker Barrel.

 

[tmgandolph]

You could try asking your parents to add your name(s) to the DVC title. You would have to pay for the retitling and filing expenses (about $400-500 or so).
The upshot is that it wont go through probate since the property would pass to the survivors.