Property transfers: selling the bare real estate prior to the usufructuary's demise is now an option!
Frustrated heirs seeking immediate financial relief from the encumbrances of inherited bare ownership can now benefit from a newly developed contract, known as Herit'immo, which allows for the sale of bare ownership without the necessity of waiting for the usufructuary's death.
Renée Costes, a leading real estate corporation specializing in life annuities and bare ownership, introduces this innovative solution to alleviate the burden of an illiquid inheritance, particularly in cases of blended families where the inability to sell bare ownership can reinforce unwanted familial ties.
Under the traditional French inheritance law, the usufructuary has the right to occupy or lease the property while bare owners hold legal title, yet are unable to sell until the usufruct ends, often upon the usufructuary's death. The Herit'immo contract, however, facilitates a sale by finding an investor willing to purchase the bare ownership, granting heirs immediate access to the value of their inheritance. This exchange guarantees the usufructuary's continued rights to reside in or lease the dwelling.
Vincent, for instance, inherited bare ownership of the family home, with his mother retaining usufruct. By using the Herit'immo solution, Vincent was able to purchase his primary residence without disrupting his mother's living situation. Another example involves Julie and Antoine, who received bare ownership of their parents' house and sought capital for personal projects. The Herit'immo contract enabled them to sell their bare ownership and recoup the funds while allowing their parents to continue residing as before.
For investors, this arrangement is advantageous as it provides the opportunity to acquire real estate at a reduced price; for instance, a house's bare ownership might be purchased for 150,000 euros, with full ownership becoming theirs upon the usufructuary's death. However, patience is required as the usufructuary's lifespan may be considerable.
By exploiting this market gap, the Herit'immo contract positions itself as a valuable tool for those seeking to liquidate inherited bare ownership without waiting for the usufruct to expire. This arrangement underscores the potential for commercial solutions that complement and complement traditional inheritance law, offering more flexibility and financial relief for heirs.
The Herit'immo contract, being a valuable tool for liquidating inherited bare ownership, offers an opportunity for investors to acquire real-estate at lower prices, such as purchasing a house's bare ownership for 150,000 euros, with the prospect of full ownership upon the usufructuary's death. Heirs, like Vincent and Julie, can utilize this contract to sell their bare ownership immediately, securing finance for personal needs or investments, while ensuring the usufructuary's continued rights to reside in or lease the dwelling.
