Home, Land, Property Buying and Selling - Passing property to family members

My grandparents bought a farm property in the 1960's; house, barn, pond, 23 acres. My grandfather recently passed away and my grandmother is looking to move to a smaller place. My wife and I are interested in the property, but would be unable to afford it as an outright sale. (valued around 600,000) Any suggestions on how to pass this property on, while still providing for my grandmother? Both my mother and uncle would like to see the property stay in the family, but I also don't want to lessen their future inheritence. Would setting up a trust be an option?

Probate laws vary from state to state. Consult with an estate attorney. Adding an adult child or other's name to a deed to establish joint tenancy with right to survivorship has been done to avoid probate. This can get complicated such as if state requires gift tax. It can impact Medicaid eligibility should grandmother have to go to a nursing home.Thus, transfer on death deeds are used in some states. Your attorney can best advise you.

http://www.abanet.org/rppt/publications/magazine/2007/ja/KirtlandSeal.shtml

You also want to be careful of how the title is transferred, so that the new title holder is able to use the stepped up basis, i.e. current value [learned about this over the years from an excellent real estate columnist in the local paper].

I grew up (my teen years) on the 60 acres my parents still live on. The property has been in the family since 1947 when my Dad was 13. My brother & I both want it to stay in the family, as a retreat, and if someone wants build on it. It's hilly and heavily wooded, surrounded by rural woods and pasture.

Anyway, we are looking into some kind of family trust, so that it can't be sold out unless all agree, or something to that effect.