The advice of Marcel Rofo
The letter of the week
Co-owner of the house inherited from my grandparents, I want to get out of joint possession with an uncle, aunt and my two sisters. The charges linked to the maintenance of this old and large home have become too heavy for me, and each joint decision stresses me, because we are not in tune. My children love this place where they have spent all their holidays. I am ready to give them a donation, but is it not giving them a poisoned gift? Suzanne
Marcel Rofo’s point of view, child psychiatrist
The situation you mention, Suzanne, is very frequently encountered in joint ownership. We thus see beautiful residences falling into ruins because they fall under this diet. Several possibilities to get out of it are available to you.
The one you plan, make your children donation, requires that they are aware of the cost and capacity to assume it. In this case, one can imagine that this causes in other joint owners, your uncle, aunt and sisters, the will to transmit their shares too to their descendants and that a new generation arrives at business. Your children, Suzanne, could also buy all the shares. It depends on the cost – we come back -, and the agreement of others.
Perhaps a meeting bringing together the co-owners, but also your children and those of the other joint owners, would be interesting to stay in an SCI, a real estate company. Which would be a way to avoid future tax problems. Once the decision will be taken, the decision will be the subject of a notarial act. If the other joint owners are not ready for it, warn them that you will have to discuss them at your next annual meeting.
