What happens to my house when I die?

Question

I'm the single title/mortgage holder to my house. When I die, will the bank just take it back? Should I or can I even will it to my boyfriend and parents? Will the bank let them assume the loan?

Answer 1

Include who your house is going to passed on to in your will. It's generally your kids, if you don't have any pass on to friends, charity, etc

Answer 2

Well, If die and dont have any kids; the house will go to your parents

Answer 3

If you own ANYTHING, you should always have a will.  That includes property, a car, a savings account, etc.  It just saves a lot of hassle and possibly heartache for your family and friends in the future.

That being said, if you will your house to your boyfriend, he will assume your loan and will owe that money to the bank.  Similarly, if you have debt after you pass, it will be passed on to your nearest living relative, including credit card debt.  

It's a great thing that you're thinking of this now.  You should definitely talk to either a lawyer about this, or if you don't want to pay one, you can find a simple form for a will online.  You could even write, "after I pass, I will all of my personal effects, including my house, to my boyfriend, _____."  You just want to make sure that 2 witnesses watch you sign and that a notary notarizes all of your signatures.  It just saves a lot of questions and issues in the future.  

Answer 4

If you don't have enough life insurance to pay the house off (for someone as young as you, you can get this through your employer for about $3 to 5 per paycheck), if no one makes the payments, it forecloses.

Willing it to a family member doesn't do anything if they cannot make the payments.

PS:  A bank will not permit someone to assume a loan in their name.  It will remain in your name "as the estate" and someone else can pay it, but they cannot receive mortgage tax benefits from it.  They can go on title.

Even when I was very young and single, I always carried enough life insurance on myself to pay off all of my debts in full (car, everything), and enough for a burial so my parents could take care of everything and not have to worry about bills coming in.

Answer 5

When you die the house, and everything else you own including all your money, will go to your estate. Your estate is everything you own; all of your assets (whether real property or personal property) and liabilities.

All your bills will be paid by your estate, even if it has to sell someof your property off to do it.

What is left will go to whoever is named in your will. If you don't have a will, the state decides, each state having their own rules.