[WSBAPT] Yet more LOPA questions..

[Diane J. Kiepe]

HI Suzanne,

As Heather rightly points out, with a LOPA there can be no deed signed (no person with authority).  Although LOPA is available the process itself does not clear title which is needed for title insurance.  Here is one list that an attorney has on their website.  Although real estate vests in the  heir this is not the same thing as clearing title.  I always recommend a probate be opened to do that so that at some point down the road, maybe even decades, a deal to refinance or sell becomes disrupted because title is not cleared.  Just my two cents and practice.😉


PROS

1. Avoids Probate.
2. Should vest title in Washington State Real Estate to the beneficiary(ies) named in the Decedent’s Will, or the “rightful” legal heir(s) if the Decedent died without a Will.
3. Cost effective and less expensive than an ancillary probate.
4. Exempt from Washington State Real Estate Excise Tax.
5. Title Companies may insure the interest of the beneficiary(ies) or heir(s) when the Affidavit is recorded.
6. The beneficiary gets a full-stepped up basis for U.S. tax purposes, meaning that he or she assumes the fair market value of the real estate at the date of death in the event of a future sale or transfer.

CONS

1. The Affidavit is not a deed or conveyance which is the legally recognized way to transfer title.
2. The Affidavit is not a judicial determination but merely a factual confirmation that the beneficiary(ies) in the Decedent’s Will or the heirs in an Intestacy should be entitled to their interest in the property.
3. The Affidavit may not satisfy the future warranty obligations of a Grantor in subsequent conveyances by Statutory Warranty Deed.
4. When there is a need to file a probate to: (a) access a safe deposit box; (b) deal with creditors and publish Notice of Creditors to impose a shorter time for unknown creditors to respond; (c)  litigate on behalf of the Estate; (d) find heirs whom are not easily identifiable; (e) or for other compelling reasons.
5. Some Washington Counties do not recognize the Affidavit as a way to transfer title, such as, in King County.

The above list is not exhaustive. There are other pros and cons.


Diane J. Kiepe

Diane J. Kiepe
Douglas Eden
717 W. Sprague Ave.
Suite 1500
Spokane, WA  99201
djkiepe at depdslaw.com<mailto:djkiepe at depdslaw.com>
509-455-5300

From: wsbapt-bounces at lists.wsbarppt.com <wsbapt-bounces at lists.wsbarppt.com> On Behalf Of Heather de Vrieze
Sent: Monday, October 4, 2021 10:56 AM
To: WSBA Probate & Trust Listserv <wsbapt at lists.wsbarppt.com>
Subject: Re: [WSBAPT] Yet more LOPA questions..

Who is signing the quit claim deed?

Heather S. de Vrieze
Attorney-at-Law
[cid:image001.jpg at 01D7B913.33E853E0]
3909 California Avenue SW
Seattle, WA 98116-3705
(206)938-5500
heatherd at westseattlelaw.com<mailto:heatherd at westseattlelaw.com>
www.westseattlelaw.com<http://www.westseattlelaw.com/>
Click here to connect with de Vrieze | Carney on Facebook:   [FB Logo] <https://www.facebook.com/DeVriezeCarney>

CONFIDENTIAL & PRIVILEGED. This e-mail message may contain legally privileged and/or confidential information.  If you have received this e-mail in error, please notify the sender immediately and delete all copies of this e-mail message and any attachment.

From: wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com> <wsbapt-bounces at lists.wsbarppt.com<mailto:wsbapt-bounces at lists.wsbarppt.com>> On Behalf Of Suzanne Lieberman
Sent: Monday, October 4, 2021 10:22 AM
To: wsbapt at lists.wsbarppt.com<mailto:wsbapt at lists.wsbarppt.com>
Subject: [WSBAPT] Yet more LOPA questions..

Good morning,

If we do a LOPA for a client transferring the house to the only child of 2 deceased parents (child was never on deed), we need to record both the LOPA and the quitclaim deed, correct? Or does just the QCD get recorded? The QCD is from the estate of the parent(s) to the child or from the child to himself, since he is already the rightful heir?

Best,

Suzanne Lieberman
CMS Law Firm LLC<http://cmslawfirm.com/>
811 Kirkland Ave. Suite 201 (please note new address!)
Kirkland, WA 98033
206-383-6484 (Cell Phone)
206-659-1512 (Main Office)


Legal stuff I have to put in... To ensure compliance with Treasury Department and IRS regulations, we inform you that, unless expressly indicated otherwise, any federal tax advice contained in this communication (including any attachments) is not intended or written by CMS Law Firm LLC to be used, and cannot be used by the taxpayer, for the purpose of: (i) avoiding penalties that may be imposed on the taxpayer under the Internal Revenue Code; or (ii) promoting, marketing, or recommending to another party any transaction or matter addressed herein (or any attachments).
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20211004/936b1b3e/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 17884 bytes
Desc: image001.jpg
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20211004/936b1b3e/image001.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.png
Type: image/png
Size: 18009 bytes
Desc: image002.png
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20211004/936b1b3e/image002.png>