Help Your Clients Avoid Capital Gains Tax By Learning This One Fact About Title: 

 

A married couple in California pays ZERO capital gains tax if title to their home is vested properly. Yes, if titles are properly vested, a Californian would not have to pay any capital gains tax when the surviving spouse or children sell those homes. Yet, why is that 70% of married couples vested titles as joint tenancy? It is because homeowners are not aware of this great tax benefit living in a community property state, like California. Joint tenancy is definitely NOT the best way to hold title because of the tax and legal disadvantages. I have created a short educational video on title vesting

These are the common ways to hold title in California:

  1. sole ownership
  2. joint tenancy
  3. tenancy in common
  4. community property
  5. community property with right of survivorship
  6. LLC/corporation
  7. partnership, and
  8. trust