Death in the family and inheritance.

[Aries]

We picked one in the area of the land. My mom is the last living sibling. My brother and I are her only spawn. She's already chosen to just deed it to him and I. At least 2 of the properties we deem as homesteads we will always keep. Unsure on the other parts yet. I don't foresee any family squabble. But who ever knows.

Yeah, but I would think even beyond that a good lawyer would know how to uncover assets you might overlook?

 

[TinkerTanker]

I’ll second the recommendation for talking to an attorney who specializes in wills and trusts/estate planning. With that much land, this is going to be a big estate, and may even be big enough that inheritance taxes are going to be a factor—even if you only assess the land at $1K/acre, which is insanely low these days, you’re looking at $2M in dirt alone.

Unless it's valued at about 12 million, he won't have estate taxes on land (iirc).

I'll add to this and say if you do need to sell property to cover the taxes, get it all appraised and sell it immediately. You'll get hit with capital gains tax based off the value of the property when inherited it, not when it was purchased. If you sit on it, you'll pay more.

Oklahoma doesn't have an inheritance tax for state.


Edited to add, you should have a trust for your mom to pass it to you. She can only gift you about $15k before you have to take a hit on it. In a trust, you'd just get it and nom nom nom farm away.

 

[SoonerP226]

Unless it's valued at about 12 million, he won't have estate taxes on land (iirc).

A lot depends on the market value of the land. 2K acres is a lot of land, and it would only have to hit $6K/acre (which is cheap in some parts of the state—I wouldn’t sell any of the land I own that low) to hit that $12M mark.

 

[Shadowrider]

I’ll second the recommendation for talking to an attorney who specializes in wills and trusts/estate planning. With that much land, this is going to be a big estate, and may even be big enough that inheritance taxes are going to be a factor—even if you only assess the land at $1K/acre, which is insanely low these days, you’re looking at $2M in dirt alone.

You really need to talk to that attorney first. If she just deeds it to you while she’s alive, that could create a huge (unnecessary) tax event that wouldn’t exist if she passed it to you in her will.

^^^ This.

There's several ways to covey the land. Deed to a trust, Deed reserving a Life Estate, Transfer on Death Deed are the ones that immediately come to mind.

Talk to an attorney and get guidance on the best route for your situation.

 

[TinkerTanker]

A lot depends on the market value of the land. 2K acres is a lot of land, and it would only have to hit $6K/acre (which is cheap in some parts of the state—I wouldn’t sell any of the land I own that low) to hit that $12M mark.

That's true. If it's in Little Dixie you'll be alright. There's 1550 acres up for sale for 10.5 mil right now with a nice house built in 2019.
If it's in western OK I don't know what it'd run. A quick search didn't show any large lots for sale right now. the good news is land isn't worth as much as a house, and huge tracts of land are worth even less per acre. I think you'll be alright.

Make dang sure the appraiser knows you can't hit 12 million or momma's going to be hit with a tax bill.

 

[Mad Professor]

You need to take a look at the “intestate succession” statutes in your state.
You said “living” sibling and that concerns me. Was she the only sibling? If other siblings, did they have heirs and or wills? It can get complicated.

 

[dennishoddy]

You really need to talk to that attorney first. If she just deeds it to you while she’s alive, that could create a huge (unnecessary) tax event that wouldn’t exist if she passed it to you in her will.

Yes, the land needs to be put in a trust with whom ever she designates as heirs to be in the trust so when she passes, the transfer is pretty seamless without taxes or probate required.
One more recommendation to speak to an attorney.

 

[Shadowrider]

You need to take a look at the “intestate succession” statutes in your state.
You said “living” sibling and that concerns me. Was she the only sibling? If other siblings, did they have heirs and or wills? It can get complicated.

^^^ This too.

You said your mother was the last living sibling. Did your uncle have kids? Any other uncles? Did all your mother's other siblings have wills? It all matters.

Here's the law. Intestate succession is Title 84, Chapter 4, Section 213

http://webserver1.lsb.state.ok.us/OK_Statutes/CompleteTitles/os84.pdf

 

[OkieMoe]

^^^ This too.

You said your mother was the last living sibling. Did your uncle have kids? Any other uncles? Did all your mother's other siblings have wills? It all matters.

Here's the law. Intestate succession is Title 84, Chapter 4, Section 213

http://webserver1.lsb.state.ok.us/OK_Statutes/CompleteTitles/os84.pdf

Yes shes the last sibling. No other offspring but my brother and I. No wills. It was always meant to keep passing down the land. Almost all is graze and farmland. One section will be worth a little more being its next to a lake/ camping spots/ golf course/ housing edition.

 

[Mad Professor]

^^^ This too.

You said your mother was the last living sibling. Did your uncle have kids? Any other uncles? Did all your mother's other siblings have wills? It all matters.

Here's the law. Intestate succession is Title 84, Chapter 4, Section 213

http://webserver1.lsb.state.ok.us/OK_Statutes/CompleteTitles/os84.pdf

Exactly!