@Amd813 recognizing that there is a lot of unknowns in the post and if the main goal are to
1. avoid probate ( time , expenses, privacy etc. ) ;
2. pass the asset to the daughters ( or their progeny );
3. achieve a step-up to FMV so as to avoid / mitigate Capital Gain at disposition by daughters/inheritors;
and
4. full use rights by the father till his last breath
then a life-estate with or without trust is the way to go. To put them as co-owners probably is not the best vehicle to achieve all your goals.
Additionally I am not sure I understand why a trust is not desirable here. Also is there a mother involved in this ? Which state is the property in, and is the father a resident of that state ?
If there is privacy concerns on any of the questions/ answers, you can always PM me -- just NO PII ( Personally Identifiable Information )
That is my two cents.
pk
