This is probably going to be outside the realm of an attorney's expertise. Also, one can run into trouble of the home is sold for less than market value, as the IRS can then consider the difference between sales price and FMV to be a gift, which again can be subject to income tax.
So, again, a CPA is all but mandatory here. I've seen quite a few people burned in attempts at good deeds and with the deficit we're facing, the IRS is auditing just about everyone these days.
Eric M. Abrams
Executive Sales, Leasing, and Investment
California Real Estate Broker
DRE License# 01862927
Highland Partners Prudential
342 Highland Avenue
Piedmont, CA 94611
*Mr. Abrams was the selling agent for the most expensive residential property to close in the history of Oakland, California, breaking the previously held record by a wide margin. Having done so in a distressed real estate climate, makes this feat all the more impressive. Mr. Abrams has also set numerous other real estate records, and has personally represented the most expensive residential listing on the Island of Maui when he listed the private sale of a $120-million estate. As a technology leader in his field, Eric has been able to assist his clients with their real estate needs from thousands of miles away, in locations such as Kenya, East Africa, Bogota, Colombia, Kosovo, and Kazakhstan. While an expert in the field of high-end real estate, Eric maintains an active cliental of first-time home buyers and sellers and treats each one of his clients with professionalism and allots unlimited time to answer all of his clientâ€™s questions regardless of their position financially or whether or not theyâ€™re actively searching for a home. Mr. Abrams is an expert in finance, was a top-ranked professional road cyclist, and is known by his colleagues and clients to be one of the most approachable and patient real estate brokers in the business. Not to be limited to working in the Bay Area only, Eric routinely assists clients throughout the United States and this year alone has flown to New York, Arizona, Maui, Virginia, and throughout California to assist his clients with their real estate needs. Mr. Abrams can be contacted by phone, e-mail or visited in person at his office, where he is happy to discuss your real estate goals, speak about the market in general, or assist in you and your family in identifying and accomplishing your financial goals as they pertain to your investment in your home or multi-unit commercial building. Having participated in numerous TIC formations and large-scale new construction projects, there are few areas of real estate that Mr. Abrams is not intimately familiar with. Residing in the Bay Area with his wife Andrea and his Dog Berkeley, Mr. Abrams also enjoys running, cycling (although no longer competitively), motorcycling, aviation, hiking, backpacking, and camping. On a personal note: â€œIf I may be of assistance or offer you a second opinion, if youâ€™re already working with a realtor, please feel free to contact me at any time, and have a fantastic holiday season!
Gregory Garver - Commercial Real Estate Broker
Broker License# 01716531
Web Reference: http://www.gregorygarver.com
If the father-in-law is comfortable setting the price and other family members won't object then an attorney and a title company are all that they need.
I don't think a realtor is necessary or warranted in this case. However, in my experience it is often necessary to have your i's dotted and t's crossed even more so when it comes to business transactions with friends and family so that there are no misunderstandings. I've seen too many instances where friends and family expect things that are not reflective of a normal business transaction, and one or both sides subsequently get angry.
To determine value I would have it appraised by two separate reputable appraisers. This should insure that neither side feels taken advantage of on price. To make sure all the paperwork is right I would hire a real estate attorney. Trust me when I tell you the combined cost of hiring these professionals is insignificant to avoid misunderstandings that can damage or destroy relationships.
Lance King/Managing Broker
In the real world families do not always agree or capable making decisions regarding money matters . A facilitator could be a welcome answer. There is a misconception that realtors and lawyers are only additional expense that should be avoided at all times . It is indeed in matters so significant they serve a greater purpose.... experience. Miss-understandings that could destroy relationships even in close nit families.
Consulting with a reputable and experienced professionals is always the right choice when in doubt. You will be surprised how little the cost and how it buys you a peace of mind.
The two parties just need to meet with an attorney and get the details on paper. The parties may also want to talk to a tax professional about tax implications.
I see that you are a real estate professional, not a consumer, so why the provocative question? Just interested in a cat fight among the agents :-)