What is the name of your state (only U.S. law)? Nevada
I own a townhouse with my 85 year old father... right now just both our names are on the deed...
My dad wants to take his name off and put the names of my brother and my 2 sons on the deed, so then we each own 1/4...
Is this a good idea to do?
No, it is not a good idea. In fact it is a terrible idea from your standpoint. If you will bear with me I'll try to explain.
First, unless the deed you mention transferred a disparity in ownership, that is in unequal proportions, then you and pop each own an equal undivided interest of the whole. Which makes you are tenants in common owning property in an estate in cotenancy.
And for numerous reasons owning land as co-tenants (co-owners) is the worst way to hold title. (Particularly as here where the property cannot be evenly carved up and fairly distributed between the co-owners.)
For example, the whole property cannot be sold without all co-tenants in agreement and neither can compel another to sell to them or force them to buy out their interest. Nor can one co-tenant dictate to whom another co-tenant might be willing to sell their undivided half interest. And whomever that might be would have equal rights to the possession of the townhouse
And when a stalemate arise - as more often than not happens - where one wants out and the other won't sell or buy, the only recourse is a time consuming and extremely costly legal action known as "
partition". Which results in the property being put on the auction block at a sheriff's sale.
So, if the plan goes through, you would be dealing not with one co-owner but three.
But again, whereas you cannot prevent pop from selling off his undivided share to any number of people, you cannot be forced to give up any part of your 50%.
If I where you and wanted to retain ownership of the townhouse, I would try to get pop to sell me his interest and perhaps reserving in him a life estate.
And you might explain to him that if he deeds out his 50% interest, then he is out of the house and the other three move in.
