Make Your Family Vacation Home Into a Legacy for Generations to Enjoy. 

For many of us, the family beach home, ranch or mountain condo is an integral part of our summer traditions. These real estate assets are treasured parts of our family bonding, yet are often under-planned for. I have a dream that our family vacation home will remain part of my children’s lives and remain a positive tradition for generations to come. Yet, without effective legal planning, this dream might as well be just that—a dream and not reality.

I believe properly titling the family vacation home is imperative to creating a legacy that will last for generations to come. When an entity, such as an LLC owns the vacation home, each member of the LLC owns an interest in the home and its furnishing.

The LLC’s Operating Agreement governs and controls the rights, responsibilities and obligations of the various members. It is a well drafted legal document that controls what happens if some of life unexpectencies occur. For example, the operating agreement talks about what happens if one of my children divorces or dies before his or her spouse dies. What if one of my children can’t afford the maintenance? What if one my children has creditor problems or wants to sell his portion? Transfer restrictions should be put into place to protect your family.

The last thing any parent wants when trying to build a legacy and create a place of enjoyment for future generations is to inadvertently create divisive family arguments. If you have a family vacation home or are planning on creating such a legacy for your family, then think about investing in a legal plan that will protect your family from outsiders as well as from themselves.