As your parents transition into their golden years, they may have to let go of their residential property. This might be because you’re enrolling them into a long-term care home or because they’re downsizing to age-in-place in a more manageable residential property.
Selling the family home will represent a significant turning point for your parents. As you assist your parents in this process, you’ll want to address potential legal issues to help ensure a smooth and trouble-free transaction.
The property title
One of the concerns that potential buyers may have is whether your parents have legal title to their residential property. Therefore, your first order of business should be to verify the property’s title. Ascertaining that the title is clear and free of:
- Liens
- Encumbrances
- Disputes
You should also confirm that your parents are the legal owners of their home and, therefore, have the legal rights to sell it. Suppose additional owners are listed on the title; you should consult with them to confirm that they agree with selling the property. In case of any hiccups, the guidance of a trusted legal practitioner can help you iron out any concerns related to title and ownership.
Power of attorney and legal authority
Suppose your parents have health or cognitive limitations that may prevent them from managing the sale themselves; you might need a power of attorney to safeguard their interests. The POA will grant you the legal authority to act on your parents’ behalf during the real estate transactions. Legal feedback can help ensure the POA is properly executed to avoid disputes.
Disclosure requirements
Your parents may not know that they’re legally obligated to disclose any defects in their home that they’re aware of. They may have to pay hefty fines or endure a lawsuit if they proceed with the sale without fulfilling this disclosure requirement. Therefore, you should find out from them if they’re aware of:
- Structural defects
- Water damage
- Pest infestation
Helping potential buyers understand the true condition of the real estate property can protect your parents from legal repercussions.
Helping your parents sell their home involves more than just finding a suitable buyer and closing a deal. It’s a process that requires careful consideration of several legal factors. Working with an experienced legal team can allow you to benefit from invaluable guidance and support throughout the process.
