Living Trust - Westside Real Estate

Living Trust
Westside Real Estate

Living Trust - Westside Homes

What is a living trust? Are You Considering a Living Trust? Living trust is created while person is alive. After death property ownership transferred to successor trustee. Successor trustee transfers property to beneficiary. The successor trustee and  beneficiary are named in the trust.  Property transferred to living trust does not go to probate. Living trust can reduce or eliminate estate taxes depending on tax bracket. Explore your options with an experienced estate planning attorney, real estate attorney and or licensed financial advisor. Many states require that an attorney draft the trust. A trust exists when one person (the grantor or the settler) gives property to another person (the trustee) to hold and manage for other persons (the beneficiaries).  The grantor can amend or revoke the trust. Through the terms, the grantor keeps all of the benefits of any property placed into in the trust for the rest of his or her life. A living trust can consist of any property such as bank accounts, brokerage accounts, stocks, bonds, and real estate. The terms of a trust are described in a written document often called, the Declaration of Trust or Trust Agreement.  This document is signed by the grantor and the trustee. The living trust is established while the grantor is alive (as opposed to a "testamentary" trust created after death). What is purpose of living trust? Often the purpose is to avoid probate.  The trust is recognized as a separate legal entity. The Trustee can only distribute assets that have been placed in the Trust.

 

A living Trust does not eliminate the need for a will.

Definitions:

• Grantor:  The individual or couple that establishes the Trust is the Grantor. Also known as settlor, trustor, donor and creator.

• Trustee: The person established by the trust as the controller of the trust  assets.

• Beneficiaries: Are the heirs that will benefit from the Trust once the Grantor  has  passed away.

• For more information about estate planning strategies: Talk to an experienced real estate attorney,  estate planning attorney and or financial advisor. 

Information deemed reliable but not guaranteed.