I suggest that the best way for your father-in-law to transfer title to the two properties that you have written about to your husband and daughter is for them to each enter into a purchase agreeemnt with him for a set price where he carried a mortgage (trust deed) and they sign a promissory note for the purchase.Each year year the father-in-law then "forgives" a portion of the note equal to $13,000 or so as a gift which is allowed under Internal Revenue Service regulations until the entirety of the note is gifted away as well as accrued interest. It is best to have a real estate attorney assist in such a buy-sell structure.