Real Estate Succession Planning in Springfield, Missouri

For many families, real estate may be one of the most valuable assets in their estates, and passing a piece of real estate to the next generation can be an incredibly generous gift. Such transfers, however, should be made only with careful planning to ensure that the value of the property is protected and the transfer can be made with minimal hassle. The Springfield estate succession planning attorneys at LifeGen Law Group have 30+ years of combined experience in helping clients successfully pass down real estate to their loved ones to be enjoyed for generations to come.

Clarifying Your Priorities and Your Needs

We work with clients who have modest holdings as well as those who have diverse real estate portfolios that include investment properties, business properties, and recreational real estate holdings. Regardless of the size of your estate, it can be difficult to know the best way to make use of your real estate when it comes to estate planning.

Our Springfield estate succession planning attorneys take the time to sit down with you, to understand what is most important to you, and to understand what you hope to achieve through your estate plan. We then review the economic, sentimental, or other value your real estate holds and what options you have for transferring those properties. We can identify how to maximize and protect the value of these holdings in a way that is consistent with your overall estate plan while minimizing tax exposure (more on this later) and accomplishing other estate planning goals. For example, you may want to sell an undeveloped parcel while retaining rental properties that will continue to produce income well beyond the foreseeable future. This requires a systematic review of your position that entails some of the following considerations:

• The current and potential future economic value of the property
• The sentimental value of the property
• The cost of maintenance and upkeep of the property
• How the property will be shared between heirs
• Whether the heirs will be interested in or capable of managing the property

We work through these questions carefully, helping bring clarity to what can sometimes seem like an overwhelming situation.

The Elephant in the Room: Tax Planning

One of the biggest issues that must be addressed in real estate success is the potential tax liabilities. Capital gains taxes, estate taxes, gift taxes, and other taxes can significantly deplete the value of your real estate assets. Making a gift of real estate can quickly become burdensome for a beneficiary who cannot afford to pay the taxes, resulting in it being sold or significant value lost at time of sale. People are justified to be intimidated by the potential tax liabilities associated with the real estate portfolio, but far too many let that intimidation prevent them from taking action.

At LifeGen Law Group, our Springfield estate succession planning attorneys believe the first step in careful tax planning is to understand the potential tax liabilities one faces. Understanding how these taxes work removes the intimidation factor and empowers property owners to make an informed decision about what is best for you and your family. From there, we can work to develop a strategy that minimizes tax exposure, protects the value of property, and meets estate planning goals.

Creative Ownership Structuring

Another important element of real estate succession involves the way in which you own your real estate. The ownership structure of your real estate can have a significant impact on your tax liability, how the property is managed, and how easily the property can be transferred. There is a wide range of options available, some of which may be appropriate for your property and others that may not. Some of the options we can discuss with you include the following:

• Formation of a limited liability company (LLC) to hold a particular property or properties
• Placing property in a trust
• Sole ownership of property vs. joint ownership
• Tenants in common vs. tenants by the entirety vs. joint tenants with rights of survivorship

Each form of ownership comes with unique advantages and disadvantages; there is no one type of ownership that is best suited for all situations. In your free initial consultation, we work through the options that would work best for you and your estate plan.

Contact LifeGen Law Group to Discuss Your Real Estate Succession Plan Today

You cannot afford to wait to decide on how your real estate will be passed to the next generation. As Springfield estate succession planning attorneys, we can help sort through the details to find the best way forward for you and your family, now and in the future. To schedule a free consultation, contact us today by phone or email, and let’s get started. LifeGen Law Group works with individuals, families, and businesses in Springfield, Branson, and throughout Missouri.