Estate Planning - Sharing a Motor Home in an Extended Family
Today Estate Planning is very difficult, and most folks don't want to think about what will happen when they die, and a good number of folks do not even have wills.
This causes a tremendous problem for the heirs, and their offspring in the event of their demise.
Not long ago, I talked to an acquaintance whose parents had passed on and they had a giant Prevost Motor Coach which was now to be sold as part of the estate, and that money divided up amongst their three children and their families.
The immediate problem lies in the fact that the used motor home market right now is at one of the lowest point it's ever been.
They'd be much better off to just store the thing for a couple of years and then to sell it.
Unfortunately a couple of the offspring like to travel a lot and would like to keep the motor home, but one of other offspring isn't sure that he really wants the use of the motor home, and would rather have the cash.
As I was discussing this dilemma I explained to my acquaintance that it is too bad they hadn't thought about this before second death, when his mom passed away.
The perfect solution would have been to park the motor coach in a storage lot somewhere between three off spring since they all lived around Los Angeles and then any of them could use it anytime they wanted.
Money could be set aside in the estate to pay for the storage fees for the next 20 years, and for simple maintenance, insurance, etc.
Then they would have had use of this giant motor home, as a gift from their family.
One of the kids could've been assigned scheduling procedures so there would be no conflict as to who was wishing to use the motor coach when.
And the whole thing could've been worked out.
This brings me to another interesting topic, and that is perhaps sharing a motor home in a multi-extended family situation is completely financially prudent.
And why not, as estates often leave vacation homes to their kids to use, rather than to sell, and it doesn't make sense to sell something at a time when the market is down.
Their Prevost motor home is worth nearly $1 million, but they can't even get a bid right now for even $300,000.
And when they sell it they will still have taxes, because their estate is so large.
If you are an estate planner perhaps this is something you might think about, and something you might work on in advance to save your clients, which own motor homes a lot of money and hassle in the future.
This causes a tremendous problem for the heirs, and their offspring in the event of their demise.
Not long ago, I talked to an acquaintance whose parents had passed on and they had a giant Prevost Motor Coach which was now to be sold as part of the estate, and that money divided up amongst their three children and their families.
The immediate problem lies in the fact that the used motor home market right now is at one of the lowest point it's ever been.
They'd be much better off to just store the thing for a couple of years and then to sell it.
Unfortunately a couple of the offspring like to travel a lot and would like to keep the motor home, but one of other offspring isn't sure that he really wants the use of the motor home, and would rather have the cash.
As I was discussing this dilemma I explained to my acquaintance that it is too bad they hadn't thought about this before second death, when his mom passed away.
The perfect solution would have been to park the motor coach in a storage lot somewhere between three off spring since they all lived around Los Angeles and then any of them could use it anytime they wanted.
Money could be set aside in the estate to pay for the storage fees for the next 20 years, and for simple maintenance, insurance, etc.
Then they would have had use of this giant motor home, as a gift from their family.
One of the kids could've been assigned scheduling procedures so there would be no conflict as to who was wishing to use the motor coach when.
And the whole thing could've been worked out.
This brings me to another interesting topic, and that is perhaps sharing a motor home in a multi-extended family situation is completely financially prudent.
And why not, as estates often leave vacation homes to their kids to use, rather than to sell, and it doesn't make sense to sell something at a time when the market is down.
Their Prevost motor home is worth nearly $1 million, but they can't even get a bid right now for even $300,000.
And when they sell it they will still have taxes, because their estate is so large.
If you are an estate planner perhaps this is something you might think about, and something you might work on in advance to save your clients, which own motor homes a lot of money and hassle in the future.
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