How to Preserve the Legacy of Your Family’s Vacation Home

Mitchell Lansky
Apr 25
3 min read

Because the memories should outlast the mortgage.

At The Lansky Law Firm, we believe a vacation home represents more than just property—it’s the backdrop to your family’s most treasured moments. It’s where children learn to swim, where stories are shared under the stars, and where generations gather to reconnect.

If you own a vacation home that holds decades of meaning, passing it on to future generations may be your goal. But preserving that legacy requires more than intention—it requires a solid plan.

The Problem with a Simple Inheritance

Leaving your vacation home to your children through a will might seem like the easiest approach. Unfortunately, it often leads to confusion or disputes. Multiple heirs may disagree on how to use or maintain the home—or whether to keep it at all. In-laws and changing family dynamics only add to the complexity.

To avoid conflict and ensure your home remains a place of joy, not stress, it’s important to plan proactively with the right legal tools.

1. Family LLC (Limited Liability Company)

A Family LLC allows you to transfer the vacation home into a legal entity. Each family member becomes a member with clearly defined roles and responsibilities, guided by an operating agreement tailored to your family’s values.

A Family LLC can help establish:

Who can use the property and when
How maintenance costs and rental income are handled
Rules around the sale or transfer of ownership interests
Voting rights or decision-making processes for long-term management

Additionally, a Family LLC provides liability protection and potential tax advantages, especially if the property is rented seasonally.

2. Trusts: A Personalized Approach to Legacy Planning

Trusts remain one of the most effective and flexible ways to preserve your vacation home for generations, while avoiding probate and minimizing family disputes.

Common Options in 2025:

Revocable Living Trust

Retain full control of the property during your lifetime
Avoid probate, saving time and money
Create subtrusts to fund expenses or establish usage guidelines

Irrevocable Trust

Can remove the home from your taxable estate or secure a step-up in basis
Offers asset protection from creditors or lawsuits
Sets legally binding terms that define access, use, and maintenance
Once created, terms cannot easily be changed, so careful planning is critical

Qualified Personal Residence Trust (QPRT)

Allows you to gift the property at a reduced tax value
Retain the right to use the home for a set number of years
After the term, ownership passes to your heirs or another trust

2025 Insight: With possible changes to estate tax exemptions, now is the time to review how your vacation property fits into your overall estate plan.

Secure the Future, Protect the Past

Without a proper plan, your family’s retreat could become the source of conflict or excessive tax burdens. With the right structure in place, you can:

Ensure a smooth transfer of ownership
Reduce estate and income tax exposure
Establish guidelines to protect family harmony
Preserve both the emotional and financial value of the home

A Vacation Home Is More Than a House

It’s the sound of waves, laughter around the firepit, and the comfort of knowing your loved ones will continue to enjoy the place that’s meant so much to your family. At The Lansky Law Firm, we help turn good intentions into thoughtful, lasting plans—so your legacy lives on in peace.

Ready to take the first step toward protecting your future? Let’s start the conversation today. Visit Us: 6800 Poplar Ave #225, Memphis, TN 38138 Call Us: (901) 767-7006