I'm confused why you even need to be involved in any of these deals. It doesn't sound like you are living with them

No we don't have to be involved but my husband wants to be involved. I am ok with it if it won't harm us or be a bigger problem in the future. Like can my sister in law come after the inheritance if she gets nothing and is getting a loan or paying outright better is what I really should have said at the end. Also even though we're in these deals we will just be giving them the money.

Stay away from these situations. They only cause problems to intermingle your finances with your in-laws. Let them do what they want and they can put in their will what they want to happen with their property when they die. Don’t get mixed up with it now.

Are you getting the mortgage, going to be on the mortgage? If they don't pay, it can affect your credit.

Is there a reason they want to cut your sister in law out of the will? I know 2 families that did that. In both of them the siblings never talked again

So it's not 100% they don't like sister in law just that since we will be paying half the life insurance and on top of that my mother in-laws future social security/savings won't be able to afford her daily needs. So we're taking that responsibility. Sister in-law is unemployed and doesn't want to be employed so can't help. My only concern is that her husband also unemployed will convince her to go after it. I don't mind her kids getting the money to live a better life. Though I know the husband just will take it because everything is about him first.

Also even if we don't do the life insurance part we would have paid for his mother's living expenses regardless. Though I would prefer to just make a mother in law suit in our backyard for her. So I think she just wants independence and is why she wants us to do the life insurance and give the extras 200 a month to cover her living cost.

I think all of you need to sit down now and discuss. Ask the sister in law if she is willing to split expenses and have claim to the house and any inheritance. I am sure she will say no.

Also, talk to an attorney because if you're in laws end up with huge medical bills, how will that affect you, etc.

Descendants of the owners have rights of ownership, regardless of who paid. As lo g as the name is on the deed everybody has rights. Unless, the will is explicit on what to do with the properties. If you want to go in business with family the best way would be to talk with a lawyer. This situation will not end well for any party involved.

Do not do this. There may come a time when they can't/don't want to pay for something, and you'll be left paying for it. Or, equally as bad, there may come a time when you and your husband can't/don't want to pay for something.

Do not do this. When you talk to your husband about it, you need to talk through worst-case scenarios. Are you prepared to assume the costs of 3 houses? You can't assume that everything will go smoothly the whole time.

True I was thinking that if ML can't afford the house with just her social security check then she should just move in with us and cash out the house to pay for part of the mother in law suit and living expenses.

Your in laws are proposing you and your husband enter into terrible investments because it's what would be most convenient for them and their family (like the member who lives rent-free in the duplex).

If they need financial assistance and you want to help, fine. Cut them a check.

But buying houses with them is a really bad idea.

Keep things simple. Complicated plans will cause problems.

If the kids are grown and out of the house does MIL even need life insurance?

They wanted to use it to pay off the Florida home.

She can buy house.

Stop paying life insurance.

Sell house when she passes.

Seems less complicated.

If I were you, I would in no way consider this. I would tell my spouse "Honey, we both love them; but no, this is a deal breaker for me."

The nightmares that can come of this are numerous. I just don't see the upside... Anywhere.