We want to protect the future of ourselves and our children through savings, investment and property. Every parent wants to make more and more wealth for their children. Also, parents like to gift things to their children. There can be no good gift from property to show love towards their children and give them a good and secure future, so many parents gift property to their children. But is it good to do so? Statistics show that more than 66% of the total civil cases are land or property disputes. About 25% of the total cases given by the Supreme Court are land dispute cases.
In such a situation, if you buy land or any property for your children and for some reason you die without splitting the property, then later your children can quarrel with this property. In most such cases, there are mutual conflicts. It is true that parents take care of their children equally. They invest and save to provide good education to their children. They get married well. Help build a career for children.
Even after this, parents want to leave more and more assets to their children as an inheritance. Buying property for children can also lead to problems of mutual conflict in future and it can also help them financially. So through this post we are going to tell you whether you should buy property for your children or not.
Have you purchased the property for children living abroad?
If your children are rich and have settled abroad, you may have trouble buying a property in India and looking after it. If the children are abroad, they will not need a home here anyway and if you want to buy a housekeeping in mind for their retirement, then the condition of the house will be very bad. They may have to spend a lot of money to renovate the house. So even if you buy a property through investment, it can be difficult for you to look after it in case your children are not near you and sell it later if needed.
Keep in mind when buying property for a minor child
If a parent dies due to an accident or other emergency, it is difficult for minor children to care for the property. In this situation, if there is no will, then this property of yours may also fall in the wrong hands. Your relatives may snatch the property from the child. If you are buying property for minor children, then make a will. If possible, keep the property in trust and in the will clearly state who will have the right over this property in the event of your sudden demise.
Have you invested in property keeping in mind the future of children?
If you are investing in property and buying property keeping in mind the future of the children and it is not your personal purpose behind this investment, then it is better to make a testament that you can distribute this property among your children while you are there Please do it. By doing this, there will not be any quarrels among the children about the property and they will be able to live together.
Can take a reverse mortgage
If you want to give your assets to children, but your children do not need it and your children do not help you, then in this situation you may lack money at the time of retirement. In such a situation, you can opt for reverse mortgage. This will provide additional income for your daily expenses.
Reverse mortgage is the reverse of home loan. It allows you to make your home or any big asset your regular income. In reverse mortgage, you can mortgage your house and borrow it. The house is paid by the bank in lump sum or in periodic payments. The bank issues the loan amount based on the demand for the property, currently the property prices and the condition of the house. This amount can be about 60% of the value of your property. You get this either outright or at intervals of some duration. Periodic payments are also called reverse EMI. Reverse EMI can be paid for up to 15 years. After this you stop getting money, but as long as you are alive, you can stay in your house. After your death, either the bank will sell the mortgaged house or if your children wish, they can get the house repaid and become the owner by paying the loan of the bank.