legal/tax implications regarding purchasing a condo for my son
I'm planning on helping my son purchase a condo. The way i view it is that I'm giving / gifting the purchase cost of the condo to my son. I don't plan on him repaying me.
However, being older and more pessimistic than he is, I am concerned about the potential of his current fiance (and soon to be wife) taking half (or perhaps more) of this financial asset if their marriage goes sour down the road. So i want to plan for this contingency.
Now, i know the safest prevention method is to buy the condo under my own name and let him live there till i die. But since it would not be my primary residence, it would incur capital gains taxes.
I know some of you may still believe this is the best method, but for argument sake, lets suppose i've decided to put my son's name as owner. In that case, is there any way i can still maintain safeguard against my fear as described above?
Forgot to say, lets ignore the possibility of forcing them to sign a pre-nup.
I'm wondering if i could get a lawyer to help me prepare a loan documents or draw up an interest-free private mortage or something to that effect, so that if things go south, i still have a claim on the property, but if everything works out well, then at some point down the road i can just tear up the loan papers or cancel the mortgage.
Does this sound legally feasible? And will i incur any tax implications in taking the above route?
Any advice and recommendations are much appreciated!
However, being older and more pessimistic than he is, I am concerned about the potential of his current fiance (and soon to be wife) taking half (or perhaps more) of this financial asset if their marriage goes sour down the road. So i want to plan for this contingency.
Now, i know the safest prevention method is to buy the condo under my own name and let him live there till i die. But since it would not be my primary residence, it would incur capital gains taxes.
I know some of you may still believe this is the best method, but for argument sake, lets suppose i've decided to put my son's name as owner. In that case, is there any way i can still maintain safeguard against my fear as described above?
Forgot to say, lets ignore the possibility of forcing them to sign a pre-nup.
I'm wondering if i could get a lawyer to help me prepare a loan documents or draw up an interest-free private mortage or something to that effect, so that if things go south, i still have a claim on the property, but if everything works out well, then at some point down the road i can just tear up the loan papers or cancel the mortgage.
Does this sound legally feasible? And will i incur any tax implications in taking the above route?
Any advice and recommendations are much appreciated!