Q: My uncle is about to have surgery for cancer, and he doesn’t want his children to have his assets as they are estranged, and I have taken care of him for the last several years. How can we avoid paying inheritance tax if we transfer his house to me? (McMurray, PA)

A: Have him consult with an estate planning lawyer as soon as possible. Transferring real estate is easy to do, however, the person making the transfer must be fully advised of the consequences. If he deeds his house to someone and survives one year after the transfer, there will be no inheritance tax. However, he really needs to be apprised of whether this transfer is right for him. He may need his house to sell to pay for nursing assistance or institutional care in the future, among other future scenarios. The attorney will need to know or determine. What is his immediate medical situation? How likely will your uncle need Medicaid in the future? If he transfers this house and within the next five years applies for Medicaid, he may be penalized by Medicaid which could force the sale of the house. Does he have long term disability insurance? Does he have other assets to liquidate in order to sustain medical treatment?