Property comes in two general classes: real property and personal property. Property in general is frequently looked at as an asset, both in accounting terms as well as in its ability to be liquidated for money.In some cases, property is liquidated to provide a source of funding to buy other property; in others it may be liquidated in bankruptcy.In a bankruptcy, for instance, you list all your property and a court-appointed trustee looks it over and decides what should be sold to pay creditors.Depending on what you owe on the property you list in bankruptcy, a trustee may even decide not to liquidate any of it.Examples include bank accounts and investments accounts held in one individual's name without a "payable on death," "transfer on death," or "in trust for" designation, or real estate that is titled in one individual's name in "fee simple absolute," meaning that the individual owns 100% of the property in his or her sole name without the remainder being transferred to someone else after the individual's death.
Here is a brief overview of each type of property ownership: Sole Ownership - Sole ownership of property simply means that it is owned by one person in his or her individual name and without any transfer on death designation.Without this one important piece of information, your estate planning attorney cannot help you create an estate plan that will work the way you expect it to work.Without taking into consideration who owns what, you will be left with an estate plan that will confuse your loved ones and possibly land them in court.When your property is liquidated in bankruptcy, though, you get whatever funds are left over after repaying creditors. For one, you can lease property such as your home or a car to others and give them an option to purchase it later on.
You could also make your non-mortgaged home liquid relatively quickly by offering to carry the new mortgage loan for a buyer. He also spent seven years as an airline operations manager.When an estate planning attorney meets with a new client, one of the first questions the attorney asks is "What do you own and how is it titled?