Putting kids on a deed

[doritoguy]

I will consult an attorney but looking for opinions. I have 2 kids (17&10). Good or bad idea of putting them on deeds as owners when I buy? Both of them already understand the savings and the opportunity it presents. Not worried about them not wanting them. I know some on here will suggest they may not want to have to pay the maintenance fees. Both of them know that it costs more to vacation when you don't use a timeshare. Plus there is plenty of life insurance to pay those in advance to give them a head start. My thinking is later on way down the road when my wife and I are gone that it would be easier for them to deal with. They are it minors so I'm not even sure you can do that.

Thanks
Tim

 

[theo]

I will consult an attorney but looking for opinions. I have 2 kids (17&10). Good or bad idea of putting them on deeds as owners when I buy? Both of them already understand the savings and the opportunity it presents. Not worried about them not wanting them. I know some on here will suggest they may not want to have to pay the maintenance fees. Both of them know that it costs more to vacation when you don't use a timeshare. Plus there is plenty of life insurance to pay those in advance to give them a head start. My thinking is later on way down the road when my wife and I are gone that it would be easier for them to deal with.

I am not offering or intending my reply to constitute legal advice. I am instead merely expressing my own personal views, observations and opinion:

1. Why would you even consider doing this now? Is it not possible (i.e., extremely likely) that the knowledge base, views, marital status and many other overall life circumstances of two kids who are just 10 years old and 17 years old today might just change quite considerably in the many long years ahead?
Not to even mention or consider the unpredictable physical and / or financial status of the underlying facility itself, many years from now...

2. Your heirs can always decline an inheritance they don't want upon your (...hopefully many years from now, God willing) demise. However --- if you put your children on the deed as co-owners, you effectively eliminate their option to "decline" later as inheriting adults. If on the deed as co-owners, they will have all the legal obligations and responsibilities of ownership those many years from now --- whether they like it or want it or not at that time. I'm betting this is not your goal or intent.

Short version: this is almost certainly a very bad idea, but you are free to pay out some legal fees to likely hear the very same input directly from your own attorney.

 

[doritoguy]

Thanks Theo. That was a thought I had on the way to work and wanted some opinions. I know their views and knowledge will change but they will almost certainly be vacationing. I only put the ages and knowledge in there for informational purposes. Odds are they won't decline and thought maybe it would be easier for them if it was done like that I later years. But I guess not an I probably shouldn't be taking that decision out of their hands.

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[Saintsfanfl]

I agree with theo 100%. It makes very little sense. There are many big reasons not to against the very minor reason of it being slightly easier to transfer once you and your wife are gone.

The only valid reason, in my opinion, to add a child to an ownership is so they have desired ownership rights, provided they are even old enough. For example a property with day use privilege can only be utilized by a registered owner. Many properties don't have day use or anything else that would meaningfully apply.

I don't even have my wife on most of my deeds.

 

[bogey21]

Theo is spot on!!

George

 

[doritoguy]

It's not often I have bad ideas. But when I do apparently it's a doozie.
Tim

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[theo]

It's not often I have bad ideas. But when I do apparently it's a doozie.

Your intentions were certainly good and noble; you were thinking about your children and their future.
The only "bad" involved here was the potential unintended future consequences of the proposed course of action.

 

[rickandcindy23]

Our kids are in their 30's, and we have them on all of our timeshare ownerships, but it's turned out to be a big mistake. It's a mess. Deeding a week to so many people creates lots of issues for us, including multiple accounts with Starwood (Starwood is very picky about deeding), so even a different way of deeding (with middle initials, without initials) throws Starwood into a tizzy fit. When I go to bank a week with II, there is a question whether I can do it because these weeks are deeded differently, and so maybe I need a second or third II account? It's maddening.

 

[doritoguy]

I have not had any experience on dealing someone's estate after passing. My wife has had two people she knows husband's pass away recently. The government steals at every opportunity and that was also one of the considers. I think but am not sure if the government taxes someone on the inheritance they receive. BTW, lawyer wasn't going to cost me anything. He's a friend of a coworker. Just would have been a conversation during a football game this fall. I asked the question here because of insight from people far more experienced in than I.

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[Rent_Share]

the only advantage is saving the recording / transfer fee that you would pay to do it after the fact.

Extending the timeshare obligation to the lifetime of your dependents without a choice is a very bad idea

The timeshare has to have value, for that to be a good idea, something TS salesmen can't seem to get their arms around (The Truth)

 

[csxjohn]

My adult daughter is on two of my deeds because she wants the TSs. It's already hers, no muss, no fuss.

When your 17 yr old reaches 18 it may then be time to put name on deed.

 

[theo]

When your 17 yr old reaches 18 it may then be time to put name on deed.

I respectfully but strongly disagree, for the specific reasons already outlined in detail in post #2 above --- but reasonable people can agree to reasonably disagree.

 

[A.Win]

I wanted to do this too, so you are not alone. But after reading this thread, I am not so sure anymore.

One of my places simply won't let minors be included on the deed, so I'm not sure there is a choice anyhow. So the question becomes: When they turn 18, should I add them to the deed?

I think adding them to the deed can save on guest fees, which could be up to $200 per year? Sometimes you need to pay a guest fee even though they have the same surname. Also if I was already planning to change the deed for another reason, simply adding the childrens' names will save me the time and expense of changing the deeds twice.

 

[presley]

I wanted to do this too, so you are not alone. But after reading this thread, I am not so sure anymore.

One of my places simply won't let minors be included on the deed, so I'm not sure there is a choice anyhow. So the question becomes: When they turn 18, should I add them to the deed?

I think adding them to the deed can save on guest fees, which could be up to $200 per year? Sometimes you need to pay a guest fee even though they have the same surname. Also if I was already planning to change the deed for another reason, simply adding the childrens' names will save me the time and expense of changing the deeds twice.

I think when they are old enough to travel alone, if they are planning on using the timeshare(s), it does save some money in the long haul to add their names to the deed. It also gives them the freedom to handle all their own bookings. Before they are old enough to travel on their own, there isn't any benefit to add their names. It could just be an added expense with more hassles down the road.

 

[Patri]

I also think each generation has different vacation styles. Sometimes it is camping, or hotels, or cruises, or day trips, or Disney World, or going overseas, or driving with no particular destination in mind. A timeshare may fit a particular couple, but their children at maturity or when married may want something entirely different.
How many of you are vacationing exactly the way you did with your parents when you were kids?
And the argument that timesharing is cheaper is only true in specific cases. Renting may be better for the same accommodations. T/S can be cheaper when comparing to hotels, but that is really the salesman spiel. Many people stay with family or find other great places to sleep too.
So to put kids on a deed restricts their options and ties them down financially.

 

[csxjohn]

I wanted to do this too, so you are not alone. But after reading this thread, I am not so sure anymore.

One of my places simply won't let minors be included on the deed, so I'm not sure there is a choice anyhow. So the question becomes: When they turn 18, should I add them to the deed?

I think adding them to the deed can save on guest fees, which could be up to $200 per year? Sometimes you need to pay a guest fee even though they have the same surname. Also if I was already planning to change the deed for another reason, simply adding the childrens' names will save me the time and expense of changing the deeds twice.

One of the reasons we put my daughter on the deed is that we have day use at the resort and anyone on the deed can use the facilities when in the area. My resort does not charge a guest fee so that didn't factor in but is a good point.

I also think each generation has different vacation styles. Sometimes it is camping, or hotels, or cruises, or day trips, or Disney World, or going overseas, or driving with no particular destination in mind. A timeshare may fit a particular couple, but their children at maturity or when married may want something entirely different.
How many of you are vacationing exactly the way you did with your parents when you were kids?
And the argument that timesharing is cheaper is only true in specific cases. Renting may be better for the same accommodations. T/S can be cheaper when comparing to hotels, but that is really the salesman spiel. Many people stay with family or find other great places to sleep too.
So to put kids on a deed restricts their options and ties them down financially.

I vacation differently than I did as a child but that is because of the advent of timeshares. My daughter was introduced to TSs the same time we were and vacationed that way for a while before she left home. Her husband is in the same situation and they love Timeshare World.

As in most cases, no one thing is good for everyone and I like it that way.

 

[rickandcindy23]

My intentions were good, but the ideal would be that II would recognize that our kids are on all of our deeds, and they would allow us to have an II account with all of our names, but that is not how it's turned out.

II wanted proof of all kids on the deeds, so I faxed a bunch of our deeds, all with the kids' names, then they worked with Starwood and realized deeds had slightly different names, so they decided together that in order to deposit these weeks into II, I had to have an account for each and every one of our children. Not going to happen, so I bought the Platinum II membership to add their names to confirmations. It's a huge PIA.

To add to the problem, one of our newest purchases, a Starwood week 28 lockoff, is not going to have the kids' names at all. I bought from a new company and kept reiterating the five names that must be on the deed. They didn't follow through. I won't buy from that seller again because this is an all new problem I don't even want to deal with. I am not really sure if I am going to have another II account. I only need the one for our weeks. We have a Shell II account we cannot use to deposit weeks.

 

[Saintsfanfl]

My wife is on a few of my weeks but not all of them. II has never had an issue with it but my II account just says Mr. and Mrs. Saintsfanfl. It doesn't list her actual name.

Marriott did create a second MVCI owner number for the units that are only in my name. We sold the Marriott's in both of our names so it really doesn't matter.

 

[pacodemountainside]

I vaguely recall a minor owning real estate must have a guardian appointed to look after his interests if anything is to be done with it. Worst case assume things go haywire at 18 and he files for partition and sale of ownership. Of course, very unlikely, but no one can predict future.

Have to be 21 to check into resort.

Ball park one can give away around $12K a year and inheritance tax does not kick in until around $5 million.

 

[travelplus]

What you could do is set up a Family Trust. My Parents set one up and I can take over the Timeshare without a problem. If its recorded as Smith Family Trust and in your Will you write that Mary Joe John are entitled to 25 percent of our home located at XXXX and our Timeshare located at Eastridge Resort.

All you would do is ensure that your timeshare has been recorded in the county as being under the Family Trust. What you can do is work with the Resort and add your Children's Names and then when you die they can get the Maintenance Fee Bill letter in the mail or set aside money in the trust to pay for the MFs with your children having full rights to use it.

You may add your Children as Guests and then when you die they would remove your name and make them sole owners. Another option is when one spouse dies the other spouse could at the time make your Children sole owners and the Spouse a Guest. What this does is allows your Spouse full use of the property but your Children who will outlive you will be able to take on the ownership or decide to sell it.

I'm not a lawyer but I do know that this is a way to work this with your Family Estate planning lawyer who can give you advice.

A Family Trust is the best way to allow your children to inherit your property so as long as they are properly named.

I hope this works for you. Please keep us posted.

 

[rapmarks]

What you could do is set up a Family Trust. My Parents set one up and I can take over the Timeshare without a problem. If its recorded as Smith Family Trust and in your Will you write that Mary Joe John are entitled to 25 percent of our home located at XXXX and our Timeshare located at Eastridge Resort.

All you would do is ensure that your timeshare has been recorded in the county as being under the Family Trust. What you can do is work with the Resort and add your Children's Names and then when you die they can get the Maintenance Fee Bill letter in the mail or set aside money in the trust to pay for the MFs with your children having full rights to use it.

You may add your Children as Guests and then when you die they would remove your name and make them sole owners. Another option is when one spouse dies the other spouse could at the time make your Children sole owners and the Spouse a Guest. What this does is allows your Spouse full use of the property but your Children who will outlive you will be able to take on the ownership or decide to sell it.

I'm not a lawyer but I do know that this is a way to work this with your Family Estate planning lawyer who can give you advice.

A Family Trust is the best way to allow your children to inherit your property so as long as they are properly named.

I hope this works for you. Please keep us posted.

Yes, if you really want to make sure they get the timeshare when you pass on, put it in your family trust. but be sure they would want it.
and it is very doubtful that they would pay estate taxes on your death, with a marital trust you can leave about ten million without paying an estate tax

 

[nazclk]

Kids on a deed

I wouldn't put them on. Leave it to them in your will. They can decide at that time whether they want it or not.

 

[tugnut]

I will consult an attorney but looking for opinions. I have 2 kids (17&10). Good or bad idea of putting them on deeds as owners when I buy? Both of them already understand the savings and the opportunity it presents. Not worried about them not wanting them. I know some on here will suggest they may not want to have to pay the maintenance fees. Both of them know that it costs more to vacation when you don't use a timeshare. Plus there is plenty of life insurance to pay those in advance to give them a head start. My thinking is later on way down the road when my wife and I are gone that it would be easier for them to deal with. They are it minors so I'm not even sure you can do that.

Thanks
Tim

This is an excellent way to get revenge on your kids for costing you so much. Even more beauteous is that they won't know they've been had until you are long dead and they have given you a proper burial.

 

[arlock]

Bad idea

As minors they can be on the deed. There are some major problems though. First, deeding property to potential heirs, jointly with yourself, is poor estate planning. If there is a bankruptcy, or judgment with them in the future, a creditor can sell their interest in the unit to pay off all or part of the debt. This would likely entail you either forking out a portion of the value, or having it sold and then getting your proportion of the proceeds. These sales are rarely at Market value. The partition comment above also holds true. You're best either transfering it to a trust or disposing of it by will. This IS intended as legal advise.

 

[lilpooh108]

I doubt there's many TS out there which would be considered as assets (rather than an ongoing liability), but on the off-chance your children would want to qualify for financial aid for college in the future without you (be it through loans, merit-based grants, etc), you may be complicating their application. Just a thought.