Who owns the house if the owner of the life estate trust dies first?

Question

My step mother owed the house and through a quick claim made it a life trust with my father the co trustee, she died 3 years ago. Who ownes the house now?

Answer 1

It's "quitclaim".

Your stepmother owned the house and established a life estate and a remainder interest. When your stepmother died, her life interest, if any, was extinguished.

Your question does not make clear if anyone shared a life interest, nor who holds the remainder interest. If your stepmom retained a remainder interest, then it gets probated under her Will or in intestacy.

If your dad has a life interest, he has sole right to live there (but can allow others to live there too, of course, until his death). On his death that life interest is extinguished and the remaindermen (whoever has the remainder interest in the trust) takes.

So long as one trustee is still alive there is no need to do anything. But I would advise the appointment of a co- or successor-trustee now, because if your father gets Alzheimers it's going to cost a bundle to get a guardian for him.

Have him sign a living will and a medical proxy. But those won't solve the trust issue I mention: only a successor or co-trustee will.

Answer 2

I would say the co trustee, isn't that the purpose fo the quick claim and the life trust?

Answer 3

Her heirs own the house. Subject to the life estate.