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PG39
My grandmother had a life estate and the house was willed to her three sons and myself. She recently passed away and we sold the house. What type of taxes can I expect and about how much % wise. She bought it around 50 plus years ago and I live in New York. I'm planning on buying my first home and want to make sure I don't spend what I don't have.
clydewolf
PG39,

Typically a life estate is established when a home is given to the next owner. At that time the previous owner probably should have filed a gift tax return. It is necessary to say probably because I don't know when the house was given to you and the 3 sons, nor do I know the value of the home. These laws are constantlly changing at the federal and state level.

It would be good if you were to discuss this with your attorney.

For a definition/discussion of Life Estate, you can read more here:
http://en.wikipedia.org/wiki/Life_estate