Where do I begin? Real Estate Question

What is the name of your state? Maine

I'll try and be concise.

My mother and father were recently divorced. They own a condo in Maine which is paid off.
The divorce specified that the property was to be transferred to my father's name (has not been done yet). He has since moved out of the country and I handle all his affairs in the US.

My father would like to take out a mortgage on the property.
He and I would like to make sure that when he passes away that the property will go to me and my siblings with the least amount of hassle/taxes. We want to ensure that we as a family do not lose the property due to the lien.

I have had suggestions of putting this in some sort of trust or maybe an LLC etc.

Some questions I have:
Should I set up some sort of trust or LLC before taking out the mortgage?
Should I take out a mortgage in just his name alone
What are the consequences of each when he passes away?

Q: Should I set up some sort of trust or LLC before taking out the mortgage?

A: I suggest a trust (but see admonition below).


Q: Should I take out a mortgage in just his name alone?

A: The mortgage should be taken out by whoever owns the property (but see admonition below).


Q: What are the consequences of each when he passes away?

A: Admonition: You must have pa hire a real estate attorney immediately to make sure the place gets in his name. That same attorney may or may not also be capable of helping him plan his estate. Pa also needs a tax CPA to help him.

seniorjudge said:

Q: Should I set up some sort of trust or LLC before taking out the mortgage?

A: I suggest a trust (but see admonition below).


Q: Should I take out a mortgage in just his name alone?

A: The mortgage should be taken out by whoever owns the property (but see admonition below).


Q: What are the consequences of each when he passes away?

A: Admonition: You must have pa hire a real estate attorney immediately to make sure the place gets in his name. That same attorney may or may not also be capable of helping him plan his estate. Pa also needs a tax CPA to help him.

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Thanks for the advice.
A few stupid questions: What is a "pa"?
And would you suggest having the place in just his name or put several names on the title?

Under said:

Thanks for the advice.
A few stupid questions: What is a "pa"?
And would you suggest having the place in just his name or put several names on the title?

Click to expand...

A "pa" is a male parent.

And would you suggest having the place in just his name or put several names on the title?

I think you need to have pa put it in a trust.

seniorjudge said:

A "pa" is a male parent.

And would you suggest having the place in just his name or put several names on the title?

I think you need to have pa put it in a trust.

Click to expand...

Wow I feel stupid now.

I'm actually in control over all of his interests in the US so I assume it will apply to me just as it applies to him.

Thank you for your help.
I'll look into getting a real estate attorney to help put it in a trust and then taking out a mortgage in his name only.

Under said:

Wow I feel stupid now.

I'm actually in control over all of his interests in the US so I assume it will apply to me just as it applies to him.

Thank you for your help.
I'll look into getting a real estate attorney to help put it in a trust and then taking out a mortgage in his name only.

Click to expand...

I'm a pa.

And a grandpa.

But I better not be a great-grandpa or there's a 12 year old who will catch h*ll!