Many Homeowners Don’t Understand Title Issues, Which Can Lead to Big Problems Later on
Our office hosted estate lawyer Dan McKenzie at last week’s office meeting, where he shared some horror stories about homeowners who made mistakes in the execution of deeds on their property.
It’s important to understand the difference between “joint tenants” and “tenants in common.” Most married couples hold title to their home as joint tenants, meaning that both of them own the whole house, and if one dies, the surviving spouse still owns the whole house by himself or herself. Tenants in common own part of the house, typically but not necessarily equal parts. When one of them dies, the heirs on the deceased party inherit that part of the house. The problem arises when that new relationship may not be a friendly one.
When a single person owns their home by him/herself (“in severalty”) and wants to add a lover or spouse to the title, a “quitclaim” deed is used to accomplish that, usually with zero dollars exchanged. For example: John Doe quitclaims his home to John Doe and Jane Roe. Dan told us of a case where John Doe mistakenly quitclaimed his home to Jane instead of to both of them, leaving him off title. When she died, her heirs inherited the house, not him. Because they weren’t married and he wasn’t in her will or on good terms with her heirs, it created a real problem reclaiming his former home.
A common mistake is for a homeowner, whether single or a couple, to put their heir(s) on title as joint tenants so they would instantly own the home when they die. The problem with that
North Park Hill Home Listed by David Dlugasch
Welcome to this completely renovated charming brick 2-bedroom, 1-bathroom single-family home at 2690 Ash Street in the heart of original Denver. This home features hardwood floors, new paint, new windows, stainless steel appliances, newer kitchen cabinets, tile backsplash and slate countertops. The bathroom has tile floors and a tiled bath. There is a 3 Season's bonus room (below) at the rear of the home. The yard has a 6’ privacy fence and has a large storage shed. The yard is great for entertaining friends and comes with garden beds to grow your veggies and flowers. Air conditioning, furnace, and water heater were installed in 2020, and there is a whole house fan. It is in walking distance to several coffee shops, City Park, the Denver Museum of Nature & Science, the Denver Zoo — and an Italian grocery store called Spinelli’s. There’s no HOA to deal with, either. Find a narrated video walk-through and interior photos at www.DenverHome.info Then call David at 303-908-4835 to see it!
$510,000
Price
Reduced on
2 Golden Real Estate Listings
At left is Jim Swanson’s listing at 3600 Miller Street in Wheat Ridge. Listed in late June at $775,000, the price was just reduced to $750,000. It has 4 bedrooms, 3 full bathrooms, 3 fireplaces and an oversized 2-car attached garage. The front yard is newly xeriscaped and the large backyard has mature trees. The interior is freshly painted throughout with new lighting, ceiling fans, and new oak laminate flooring. Take a video tour at www.WheatRidgeHome.info.
At right is Jim Smith’s listing at 533 High Point Drive in Golden. With 3 bedrooms and 3½ baths, it’s at the mouth of Clear Creek canyon and in walking distance (over a pedestrian bridge) of the Golden Community Center, a dog park, and the Peaks to Plains trail. Downtown Golden and the Colorado School of Mines are a short walk further. The seller has made over $100,000 in improvements, including hardwood flooring, a new full-width cedar deck and an updated kitchen. The price was just reduced to only $698,000. Video tour at www.NorthGoldenHome.com
approach is that the value of the home is not “stepped up” at death. You want to will the home to your heirs or create a “beneficiary deed” so that the value of the home is stepped up to the value at the time of death. Otherwise, the heir could owe a significant amount of capital gains tax. If that heir sells the house soon after inheriting it, the capital gains tax would be close to zero.
In a beneficiary deed, you name the person who is to inherit the home, independent or outside of your will. Thus, the transfer of ownership is automatic at your death without that tax liability.
A “life estate” is a special kind of deed that allows you to sell your home while you’re alive, but not have to vacate it until you die. When my brother died ten years ago, my sister-in-law (his
widow) was able to sell their farm to a buyer who gave her a life estate, allowing her to live free (except for utilities) in the farmhouse until her death many years later. The buyer got full use of the rest of the farm during those years, so it was a win/win.
If you have questions about deeds or other title issues, including how probate works, you can reach Dan McKenzie at The McKenzie Law Firm, LLC. His number is 303-578-2745, and his email is Dan@TheMcKenzieFirm.com
Come to Golden This Weekend! It’s Buffalo Bill Days, one of Golden’s iconic events, and you’re invited. We’re one of the event’s sponsors, as we have been for over a decade, and I’ll be driving our free moving van in Saturday’s parade.
Me
Greg Kraft was knowledgeable and professional. He was very easy to work with and was super proactive in searching the listings. That was a key in managing to buy the townhome in a very competitive market. He was also very responsive and communicated really well with us and the listing agents. We would recommend him without reservation.
— J. Knight
Jim Swanson was kind and patient while listening to my questions. He helped me to translate the real estate language and manage the sale process. He connected the dots, allowing me to make good decisions, maintain my personal integrity and profit from the sale when a great offer came to the forefront. Jim, thank you for putting communication and community first. — N. W.
Kathleen Jonke is a knowledgeable, efficient and hard working broker. Her availability and response time were exceptional. — K. Wiig
Chuck Brown is a superb Realtor. He is very knowledgeable regarding the market, very proactive and highly professional. Chuck was great at identifying potential properties that met our criteria, he moved very quickly to show us potential properties and his analysis of property values was on point and very thorough. Chuck was extremely proactive and responsive in his communications with us. Chuck went above and beyond our expectations. My wife and I have done six real estate transactions and we think Chuck is the best Realtor ever. We would highly recommend Chuck to other home buyers.
— S. Diamond
Dave Dlugasch did a phenomenal job working with us! We were not easy buyers because of an extensive “wish list” and he did his homework on each property we looked at until we found the right one. He gave us great advice and was very supportive of all our questions throughout the entire process. — M. Madigan
Based on Jim Smith's knowledge, experience, and expertise in the real estate arena, we decided to work with him when it came time to downsize. We used Jim and his real estate firm to both purchase the new home and then sell our existing property. All communication with Jim has been top notch. In addition, he provided all packing materials along with free use of the company's moving truck and labor to make our move. It was a great experience from start to finish! — R. Trujillo
BAKER
Delores (Dori) Ruth Baker May 02, 1942 – July 13, 2024
Delores (Dori) Ruth Baker, daughter of Joseph Deschamps and Lois Gruell Deschamps, was born on May 2, 1942, in Wray, Colorado. With one older sibling and one younger sibling, Dori understood that God created her to both roll with the punches and take the lead in all things. She graduated from Wray High School in 1960 and became a registered nurse. She loved to o er words of wisdom and truth to anyone who would listen. Having an earned role in the medical eld gave her this opportunity. Dori married Gary Allen Baker of Yuma, Colorado on August 20, 1961. Together they had two sons, Greg, born in 1969, and Bret, born in 1971.
Gary and Dori Baker raised their sons on the property while boarding horses, farming, and being an avid part of the community, as well as the county. ey were part of the Young Athletes Fellowship of Christian Athletes. When the boys entered their teenage years, she went back to school to brush up on her nursing, becoming a home health nurse until her stroke in 2000.
e doctors told Dori that she would never walk again, to which she calmly replied, “You’re not God.” Dori would later prove them wrong and walk well enough to continue on life as normal until she eventually was wheelchair ridden.
In 1972, while her husband, Gary, was in Korea, Delores put a down payment of $600.00 on a 40-acre property in Brighton Colorado. Until her very last days, Dori was sure that God led her to do this, stating that she prayed one day that God lead her wherever she was to go and He answered with his nger on the property. Dori followed where God led her and began building a legacy that she would leave behind for generations to come. If you asked Dori about this she would tell you, “I had no idea how to make the payments, I just knew that God directed me to be here.”
Dori had her second stroke on June 21, 2024, and died peacefully in her sleep on July 13, 2024, on the property that she bought and owned.
Delores (Dori) Ruth Baker was preceded in death by her husband, Gary Baker. She is survived by her two sons Greg (Norma) and Bret (April), her 10 grandchildren, 10 great-grandchildren, and 1 great, great, grandchild. She is also survived by siblings Joseph Deschamps and Linda Gri th.
ere will be a celebration of life held on July 28th at 5 pm at the Recreation Center Park located at 555 N 11th Avenue, Brighton, CO 80601.
Be prepared before the next power outage.
Receive a free 5-year warranty with qualifying purchase* - valued at $535.
Call 866-977-2602 to schedule your free quote!
