1. #1
    Join Date
    May 2004
    Location
    San Antonio, Texas
    Posts
    1,707

    Default Can Minor Own Property?

    I have buyer that is attorney. He and his wife want to purchase a condo and gift it to their 5 children. (2 are minor children)

    Can minors be on title? Title company says no. Buyer says find a different title company.
    Randy Watson Texas Real Estate Agent
    Mission Realty - San Antonio Texas
    www.satxproperty.com

  2. #2
    Join Date
    Feb 2008
    Location
    Portland, Oregon
    Posts
    1,228

    Default Re: Can Minor Own Property?

    This is not a simple question and my impression is that it varies from state to state. Since you are in Texas, here's an excerpt:

    Guardianship and Custodianship for minors
    • Because minors cannot contract, if there is property in their name, they cannot manage or sell it, or buy securities. In such instances, a guardian will be appointed to manage the property. Additionally, it is important to have a guardian in a minor is named in as a beneficiary of a life insurance policy, because many insurance companies will not disburse funds until there is a guardian appointed.
    • Unlike a guardianship, in a custodianship, the planner can either choose the custodian herself or have the trustee choose the custodian, without worrying about the court appointing someone. Under the Texas Uniform Transfers to Minors Acts (TUTMA), the custodian has the authority to manage the property on behalf of a minor beyond the age of 18. A custodian arrangement can be very convenient for handling small amounts of property or for parents who want to use the annual gift tax exclusion until the child turns 21.

    From here:
    http://www.probatetexas.org/guardianship/

    It may be legal to put them on the title, but it also creates some legal confusion because they are not able to enter into contracts. The latter issue may be why a title company would not want to agree to such.
    Last edited by Portland Real Estate; 07-18-2009 at 12:43 PM.
    Portland Real Estate | Portland Homes For Sale
    Milan Cole, Real Estate Broker
    JMA Properties LLC, Portland, Oregon
    (503) 953-3416

  3. #3
    Join Date
    Jan 2008
    Location
    Yorktown Heights, NY and Stamford, CT
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    Default Re: Can Minor Own Property?

    Quote Originally Posted by satxproperty View Post
    I have buyer that is attorney...
    I am so sorry for you Not the easiest clients to deal with

    But I would think that he would be able to best answer that question as it is a legal question, no?

    Now for the million dollar question, is he representing himself?


    I had a few Attorney clients and thankfully, they did have another attorney represent themselves. Also had a couple of Realtor clients
    Larry Jensen, Principal Broker
    [FONT="Century Gothic"][COLOR="Red"]St. Lawrence Properties, LLC[/COLOR][/FONT]
    (203) 883.0883
    www.SLPNYCT.com
    Real Estate & Property Management
    My Blog: St. Lawrence Properties Blog

  4. #4
    Join Date
    May 2004
    Location
    San Antonio, Texas
    Posts
    1,707

    Default Re: Can Minor Own Property?

    Quote Originally Posted by NY RE Broker View Post
    I am so sorry for you Not the easiest clients to deal with

    But I would think that he would be able to best answer that question as it is a legal question, no?
    He probably does know best, after all, he did tell me to find a different title company ...

    I don't mind attorneys too much. They seem to be testing me constantly, which can be annoying. Even at the closing table, attorneys sometimes are still negotiating one thing or another.

    My biggest and most regular client is a oil and gas attorney. (He's always got deals going on.) He's one that I like a lot.
    Randy Watson Texas Real Estate Agent
    Mission Realty - San Antonio Texas
    www.satxproperty.com

  5. #5
    Join Date
    Jul 2009
    Posts
    11

    Default Re: Can Minor Own Property?

    Quote Originally Posted by Portland Real Estate View Post
    This is a note a simple question and my impression is that it varies from state to state. Since you are in Texas, here's an excerpt:

    Guardianship and Custodianship for minors
    • Because minors cannot contract, if there is property in their name, they cannot manage or sell it, or buy securities. In such instances, a guardian will be appointed to manage the property. Additionally, it is important to have a guardian in a minor is named in as a beneficiary of a life insurance policy, because many insurance companies will not disburse funds until there is a guardian appointed.
    • Unlike a guardianship, in a custodianship, the planner can either choose the custodian herself or have the trustee choose the custodian, without worrying about the court appointing someone. Under the Texas Uniform Transfers to Minors Acts (TUTMA), the custodian has the authority to manage the property on behalf of a minor beyond the age of 18. A custodian arrangement can be very convenient for handling small amounts of property or for parents who want to use the annual gift tax exclusion until the child turns 21.

    From here:
    http://www.probatetexas.org/guardianship/

    It may be legal to put them on the title, but it also creates some legal confusion because they are not able to enter into contracts. The latter issue may be why a title company would not want to agree to such.
    Wow you sure an expert in this field, I'm just a beginner hope I can approach you if I have something to ask, good day

  6. #6
    Join Date
    Apr 2008
    Posts
    11

    Default Re: Can Minor Own Property?

    No. You must be 18 to own property. Until that age, any property must be held in trust for a minor.

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