As an emotional and financial investment, there is a lot to consider to ensure that the future of your cottage lines up with your financial planning needs.
A cottage is a home away from home for most people. It’s a place to escape from the hustle and bustle of a busy city. It represents a place to share family time with loved ones, to celebrate birthdays, weddings and holidays. In essence, you have forged memories at the cottage with friends and family that will last a lifetime. You might be a little nervous when planning for the future of your cottage.
The family cottage can be a time-honored tradition that has been passed down from generation to generation. There are a number of ways that you can pass on the family cottage property to future generations. It is important to understand the property transfer process to ensure the next generation enjoys the same experiences you had. It’s an important financial asset that can be passed down to your children or grandchildren, or sold for a sizeable profit in the future.
If you’re considering passing on your cottage to the next generation, Tarsem Basraon of TD Wealth suggest that you consider the following factors before making a decision.
1: Pass it on before you die
2: Gift it in the will
3: Use insurance
4: Just sell it
Read the full article for an elaboration of these 4 points and more practical advice. Make sure to talk to one of our financial advisors about any questions you may have on transferring your cottage. We can help you with all of your financial planning needs as well.