The parents of a young married couple assist with the purchase of their first home. The parents qualify for the loan and hold title to the property in their name. The young couple is told that they must make the mortgage payments, property tax payments, insurance payments, HOA fees and to maintain the property as if it was their home. The parents continuously tell the couple that the home is “their home.” The couple is told that once they are capable of qualifying for their own loan, the parents will remove their name from the title to the property and it will belong to the couple. Several years down the road, the parents change their mind and decide they want to sell the property and they ask the young couple to move out of the property.
The couple would be very upset under these circumstances and understandably so. They were doing everything a homeowner would have been doing based upon the promise of their parents and now risk losing tens, if not hundreds, of thousands of dollars they otherwise could have put towards savings or other necessary expenses. Here, the couple would have a valid claim against the parents to quiet title to the home based upon the promise made to them and their performance.