Fighting over the family cottage

Several months ago, I blogged about passing on recreational properties. Passing on a family cottage can be an extremely sensitive subject. The Globe and Mail ran an article a few weeks ago on tips for passing on recreational properties. The main points highlighted by the author? Don’t let the children (or other heirs) figure it out on their own; ask your children what they want to do; don’t focus narrowly on avoiding probate at the expense of what you actually want to do; don’t forget about capital gains tax; don’t forget about maintenance costs; and don’t forget about principal residence exemptions. When you have a cottage, it is even more important to get good advice from your lawyer, financial planner and accountant, working together, to ensure that the beloved family summer home gets passed to the right people in the right way with a minimum of fuss and money.