Remove person from deed?

[hmonkeyruns]

In 1994 my sister, my Mom and I chipped in and purchased DVC points together. All three of us are listed on the deed.

My mom is about to turn 80 and she's not interested in travel to Disney anymore and doesn't want to keep her share of the DVC points. We were wondering how to go about buying her out of her portion and taking her name off the deed. I'm sure we wouldn't be the first people to do something of this nature but I couldn't find anything when I searched. I think I just don't know the right terminology to use in the search engine.

I'm planning to call my DVC agent to ask these questions but the DIS usually can answer things more completly and quickly than Disney sometimes!

 

[CALIFLADY]

Is there a legal reason that you HAVE to take your Mom off the deeds? That is, if the siblings keep paying the MF's and use the points, it doesn't really matter that your Mom's name is on the deed. In fact, after she passes, I still don't see why you'd need to remove her name (assuming you are her beneficiaries). The deed states that X AND Y AND Z are owners. Not X OR Y OR Z are owners.

It's gonna cost you money to change the deed and I'm just not sure ti's worth it or really gains you anything.

What am I missing?

 

[erionm]

I'm planning to call my DVC agent to ask these questions but the DIS usually can answer things more completly and quickly than Disney sometimes!

This would be a question for Member Administration, not your guide.

 

[Dean]

In 1994 my sister, my Mom and I chipped in and purchased DVC points together. All three of us are listed on the deed.

My mom is about to turn 80 and she's not interested in travel to Disney anymore and doesn't want to keep her share of the DVC points. We were wondering how to go about buying her out of her portion and taking her name off the deed. I'm sure we wouldn't be the first people to do something of this nature but I couldn't find anything when I searched. I think I just don't know the right terminology to use in the search engine.

I'm planning to call my DVC agent to ask these questions but the DIS usually can answer things more completly and quickly than Disney sometimes!

You should talk to Member admin but in reality you'll get more and better info here. This would be counted (1/3 of the contract) as an asset to your mom and could have implications for nursing homes, etc. Also, once she passes, it's part of her estate. You should likely talk to your attorney about how this might play for your situations. In reality, if the two of you are the only direct heirs and your mom wants the two of you to have it, it's likely not worth changing the deed. The process is (assuming no loan) is to get the info from DVC, send in the transfer request form, DVC will send you a ROFR. You'll then need a deed signed by all and record the deed and ROFR form. Them complete another form for DVC and send that along with a copy of the recorded deed to DVC member admin. For a single contract you can do this under $50 with minimal work and no risk.

 

[Anthony1971]

concerning nursing homes... they look back 5 years and if this was gifted they can take it. You will need to plan on paying fair markey value when this trasfer is done or at least keep that amount on file as this is what you will have to pay if this should be the situation.

 

[hmonkeyruns]

We have other siblings who are not part of this contract and removing this item from my Mom's estate is one of the factors in play here.

We do not have an outstanding loan on this propery/membership so unless there is a legal obligation to exchange money and "buy her out" of her 1/3 of the points we wouldn't actually need to do that.

 

[Dean]

concerning nursing homes... they look back 5 years and if this was gifted they can take it. You will need to plan on paying fair markey value when this trasfer is done or at least keep that amount on file as this is what you will have to pay if this should be the situation.

And if you do it for fair market value, the automatic ROFR is lost. While I check with an attorney, I suspect simply getting it done is better than not. For a timeshare I doubt it'll matter but no reason to take chances.

We have other siblings who are not part of this contract and removing this item from my Mom's estate is one of the factors in play here.

We do not have an outstanding loan on this propery/membership so unless there is a legal obligation to exchange money and "buy her out" of her 1/3 of the points we wouldn't actually need to do that.

As long as she's on board and is legally competent, you should have no problem from this angle. Just remember, that at this point, she legally owns 1/3 of the contract no matter who paid what originally or in yearly dues and any financial, estate or legal issues will approach it accordingly.

 

[DisDad07]

Can you get by with her signing a quick claim dead? It should release her from the contract, and I don't think you need to change the dead. but you could check with a realtor.

 

[Dean]

Can you get by with her signing a quick claim dead? It should release her from the contract, and I don't think you need to change the dead. but you could check with a realtor.

My understanding is that it'd have to be recorded to be legal. Getting it done now and then recording if something came up might be worse than any other option.

 

[n2mm]

So the other owners don't have right of survivorship if one owner passes away? And, Can't this be willed to one specific person?

 

[Dean]

So the other owners don't have right of survivorship if one owner passes away? And, Can't this be willed to one specific person?

It depends on how the deed is set up, however, there are circumstances where the membership would remain at risk. It can be deeded but again, there are potential complications. If there are any judgements or lien's, they would have to be satisfied first. Plus, with siblings, the minimum likely is the membership value would be counted toward their portion of any inheritance. Plus it could be contested if signed now and recorded later as well as the title could potentially be clouded for any future financial issues if they occur after signing but before recording. IMO, the risk is too high to wait and see what happens and it can be easy and cheap to to now. One should likely speak to a Real Estate attorney if thinking of anything other than getting it completed now.

 

[hmonkeyruns]

Thanks for all the input, folks!

I'm going to call DVC and at least now I have a slightly better understanding of things so I think I'll be able to have a more intelligent conversation about this than I would have before.

 

[LouisianaDisneyFan]

Thanks for all the input, folks!

I'm going to call DVC and at least now I have a slightly better understanding of things so I think I'll be able to have a more intelligent conversation about this than I would have before.

You will want to decide if there will or will not be a transfer of money prior to calling Member Administration. If this is a gratuitous transfer (no money exchanged), then you can do the transfer before or after the March 20 deadline with no loss of privileges. If you purchase your mom's portion after March 20, I'm not really sure how Disney will deal with it regarding privileges. You would receive a new membership number either way (because of the newly recorded title), and it could really create headaches in the system, as technically 1/3 of the points would have been a resale to you and your sibling... and thus ineligible for the additional privileges after March 20.

I would suggest that you talk with your mom and siblings about doing this as a gift. Your mom would no longer be responsible for her share of the maintenance fees, so your siblings could see this as a reduction in your mom's liabilities (thus good for the overall estate). If all agree to change the title as a gratuitous transfer, shoot me a message and I can send you all the info I have regarding handling the paperwork yourself (without an attorney). It's a little time-consuming, but very easy. I've handled three transfers to our own family members over the last few months and they've all gone smoothly.