A life estate is a form of property ownership that allows an individual to use and manage property during their lifetime. The life estate also designates who will receive the property after the owner’s death, known as the remainderman or remainder beneficiary. Let’s take a closer look at what a remainderman is and how they fit into the life estate structure.
What is a Remainderman?
A remainderman is someone who has been designated to receive property once the current owner dies. In other words, they are the person named in the life estate agreement to inherit it upon the death of the original owner. The remainderman can be an individual, such as a family member, or it can be an organization, such as a charity or trust fund.
What Rights Does a Remainderman Have?
The rights of a remainderman depend on how they were named in the life estate agreement. Generally speaking, they have no claim to the property while it is still owned by another person and cannot do anything with it until ownership transfers to them at some point in time (i.e., upon death). However, if this type of provision was made in advance, then certain rights may be granted to them before this happens (such as being able to collect rent from tenants).
In addition, if there are multiple beneficiaries listed as remaindermen, then those individuals could potentially have different levels of rights depending on their relationship with each other and/or any stipulations made in the life estate agreement itself. For example, one individual may be given sole authority over managing or disposing of certain assets within the property while others may not have any power at all.
How Does This Affect Other Beneficiaries?    Â
Depending on how many people are listed as beneficiaries in a life estate agreement, some may not receive any benefits until after everyone else has had their share (i.e., after all other heirs have died). This means that if there is more than one beneficiary listed on an estate plan, then those individuals may find themselves waiting years before finally receiving their inheritance due to other heirs living longer lives than expected.
Planning Ahead is Key!
Understanding what role remainders play in life estates can help you make sure your wishes are carried out when you pass away. It’s important to remember that remainders must wait until after everyone else has passed away before receiving any benefits from an estate plan; however, if properly planned for ahead of time – through proper legal advice – these individuals can still receive something for their eventual inheritance even if it takes years for them to actually get it. Understanding these concepts can help protect your loved ones and make sure that everything goes smoothly when you eventually pass away.
If you have additional questions or would like to explore setting up a life estate as part of your estate plan, contact our Tampa will lawyers at (813) 438-8503 to schedule a consultation.