Buying land $10 OVC to settle Estate

[mushroom44]

What is the name of your state? Arizona
My aunt recently passed away and left a small parcel of land as part of her estate. The land is basically worthless as it is located in the middle of the Arizona desert and could take years to sell. All other affairs of the estate have been settled and the only thing holding things up is the sale of this land. I suggested that the land be sold to the beneficiaries for $10 OVC and then be placed on the market untill it sells or donated to a charity and taken as a charitable deduction. Would this be held as a valid transaction in order to setle the estate?

 

[wdlsguy]

What does OVC mean? Can't you just transfer title to the beneficiaries?

IANAL

 

[mushroom44]

OVC means Other Good and Valuable Consideration. It is a common form of consideration in non-arms length transactions such as this. I guess my question is whether this would be viewed as a valid transaction by probate in oder to settle the estate.

 

[BelizeBreeze]

Well, If I can buy 120 acres of prime farmland valued at $500,000 in just that way then there shouldn't be a problem.

However, since this is probate, you need the approval of the court.

 

[anteater]

To repeat a simple and valid question:

Can't you just transfer title to the beneficiaries?

IANAL

 

[mushroom44]

In essence, that is what would happen. Most deeds that I have seen do recite "consideration" which is usually the amount paid for the property. In this case of OVC, the $10 is a token amount used only to make it a valid transaction. Whether the probate judge would view it as such is another question. I guess a "Gift Deed" could be used however those are usually spelled out in the will and in this case it was not.