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This blog is the last in my family cottage series. I think it is fitting that the series is wrapping up just as many of us our closing up our family cottages for another year.
You probably noticed a common theme among the various options I’ve discussed over the last five blogs: capital gains tax.

The last option I will discuss is retaining complete ownership of the cottage while you are alive and directing that it be transferred to some or all of your children upon your death. This is usually done through your Will.
Unless the cottage is the only residence that you own at your death, capital gains tax is likely payable upon your death. Will there will be enough money in your estate to pay the taxes owing or will your children be forced to sell the cottage in order to raise the needed funds?

A third option is shared ownership with your children. Instead of being the sole owner, you and one or more of your children would own the cottage together, either as joint tenants or tenants-in-common. These two ways of sharing ownership are very different and the pros and cons of each need to be carefully considered before deciding which works best for you and your family.
As discussed in previous blogs, there is the question of taxation to consider. Capital gains would be payable on the percentage of the ownership that you transfer to the children.

In my last blog, I looked at some of the pros and cons of gifting the family cottage to your children. Another option is to sell the cottage to one or more of your children at its fair market value or some other agreed-upon price. This may be a good option if some or all of the following apply:

Gifting your cottage outright to your children while you are living may be a good option if you no longer wish to own or maintain the cottage and one or more of your children have the financial means to take it over. But before doing anything, get tax advice as an outright gift during your lifetime of capital property can trigger a nasty tax surprise resulting in double taxation.  

For many of us, summer plans often focus on time at the family cottage. The family cottage is often like a treasured heirloom which you and your family may hope to preserve and pass down to future…

There are various products in the marketplace, most for under $50, that offer a do-it-yourself (DIY) will. To be perfectly honest, if you are paying more for a haircut than you are for your will, I think there is a problem.
Perhaps it is a good time to remind people of the importance of having their