I am drawing a new trust and am unsure of who to list as property owners
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Answer:
Deeds are used to transfer real property and come in various forms. A deed is the written document which transfers title (ownership) or an interest in real property to another person. A deed must be in writing and signed by the grantor(s). Generally, deeds conveying a homestead estate must also be signed by the grantor's spouse. The deed must describe the real property, name the party transferring the property (grantor), the party receiving the property (grantee) and be signed and notarized by the grantor. To complete the transfer (conveyance) the deed must be recorded in the office of the County Recorder or Recorder of Deeds. There are two basic types of deeds: a warranty deed, which guarantees that the grantor owns title, and the quitclaim deed, which transfers only that interest in the real property which the grantor actually has. The quitclaim is often used among family members or from one joint owner to the other when there is little question about existing ownership, or just to clear the title. A quitclaim deed conveys only such rights as the grantor has. A warranty deed conveys specifically described rights which together comprise good title. A deed may be avoided by alterations made in it subsequent to its execution, when made by the party himself, whether they are material or immaterial, and by any material alteration, even when made by a stranger. The disagreement of those parties whose assent to the transfer is necessary may invalidate the deed. There are many situations in which it may be desirable to add or delete a person's name from a deed, such as adding or removing a spouse, child or sibling. A person can only be deleted from a deed with their approval, i.e., they must execute the deed (sign and have their signature notarized).
A life estate is where a person owns all the benefits of ownership in the property during their life, or the life of another, with the property going to a remainder person after the death of the life tenant. It is an interest in real or personal property that is limited in duration to the lifetime of its owner or some other designated person or persons. A life estate may be transferred, such as selling the interest to the remaindermen. A life estate may be transferred in property by means of a deed or bill of sale. A bill of sale is a document that transfers title of an asset from a seller to a buyer. One common type of deed used to reserve a life estate is a warranty deed. Both the person who owns all the benefits of ownership in the property during their life and the remainder person are typically named in the deed.
Capacity refers to the ability to make a rational decision based upon all relevant facts and considerations. For example, the maker of a last will and testament must have testamentary capacity, meaning that he/she must understand the nature of making a will, have a general idea of what he/she possesses, and know who are members of the immediate family or other "natural objects of his/her bounty. Testamentary capacity requires ability on the part of the testator to understand and carry in mind, in general way, the nature and situation of his property and his relations to those persons who would naturally have some claim to his remembrance. It requires freedom from delusion which is the effect of disease or weakness and which might influence the disposition of his property. Also, it requires ability at the time of execution of the alleged will to comprehend the nature of the act of making a will. Capacity to make contracts may be lacking in the case of minors or mentally disadvantaged persons. A contract signed by a person lacking capacity may be void or voidable.
The following are California statutes:
§ 779 Civ.
When a remainder is limited to the heirs, or heirs of the body, of a person to whom a life estate in the same property is given, the persons who, on the termination of the life estate, are the successors or heirs of the body of the owner for life, are entitled to take by virtue of the remainder so limited to them, and not as mere successors of the owner for life.
§ 818 Civ.
The owner of a life estate may use the land in the same manner as the owner of a fee simple, except that he must do no act to the injury of the inheritance.
§ 840 Civ.
The owner of a life estate must keep the buildings and fences in repair from ordinary waste, and must pay the taxes and other annual charges, and a just proportion of extraordinary assessments benefiting the whole inheritance.