Red Rock Corporate Solutions’ Estate Planning Attorney Services
Red Rock Corporate Solutions is a trust company that can assist you with any type of trust structuring and estate planning services. Our estate planning attorney services include; land trusts or real estate privacy trusts, revocable living trusts, supplemental need trusts, FLPs or family limited partnerships, life insurance trusts, and trustee management. These structures and entities are essential to providing the best level of asset protection for you and your families’ estate and will help them to avoid expensive probate costs in the event that something were to happen to you.
Land Trust Frequently Asked Questions
What is a Land Trust or Real Estate Privacy Trust?
When you structure a land trust, you transfer your interest in the property from an interest in real estate, which means you are the holder of legal title to real property to personal property which means you now are the holder of a beneficial interest in a trust. With a Real Estate Privacy Trust you retain control over the property itself, you are not over weighed down with many of the legal obligations that come with owning real estate. Since your interest in the real estate properties is now held in this type of trust it is considered to be personal property, now it is treated much the same way as a vehicle, a investment account, or other tangible real property. This allows for the interest you hold in the Real Estate Privacy Trust to be sold, pledged, or assigned easily.
Who May Create a Real Estate Privacy Trust?
A Real Estate Privacy Trust may be established by any person of legal age that is capable of entering into a contract. The trust has the flexibility of being created by an individual, a partnership, a corporation, or two or more individuals who have a desire purchase and own real estate property as co-owners.
How does a Real Estate Privacy Trust Operate?
Under the conditions of a Real Estate Privacy Trust, a person retains complete control of the real estate property just as if the recorded deed of the property was still in your name. The duration of the trust is open, a person may end the trust whenever they wish, and they may add additional property to the trust at any time. With a Real Estate Privacy Trust you keep the rents, profits, and proceeds of the sale of the property held in the trust. This means, that it is your responsibility to pay all city, county, state, and federal taxes applicable, insurance, and other expenses incurred on behalf of the property.
How does a Real Estate Privacy Trust Protect my Privacy?
Creating a Real Estate Privacy Trust means that there is only few exceptions where your personal identity as owner becomes public. This feature can be of extreme importance in many situations. For example, you may wish to put together several parcels of real estate for development project; the purchases may be facilitated more easily if your plans are not made public. In certain situations, investors may simply wish that the interest of each owner be kept confidential. A Real Estate Privacy Trust allows a convenient way of protecting your privacy in these types of instances.
Certain governmental agencies or persons operating under valid and authorized legal authority may make inquiries concerning beneficial ownership in a Real Estate Privacy Trust, and the beneficiaries may have to be made known in order for the trust to receive certain governmental benefits such as state grant funds and licenses, building permits, and other legal authorizations relating to the property held in a trust. As Real Estate Privacy Trust beneficiary, you would receive proper notification in timely matter in the event of any inquiries relating to your property.
How will a Real Estate Privacy Trust Protect Me with a Co-Owner?
If you own property in joint-ownership with one or more persons, the title to the real estate property may become faulty or un-merchantable because of bankruptcy, legal disability, divorce, death, or judgment affecting one of the joint-owners. If the property is held in a Real Estate Privacy Trust, a judgment against one or more of the beneficiaries of the trust will not automatically constitute a lien upon the property held by the trust and normal legal proceedings against a beneficiary cannot have an effect on the title.
Although the real estate itself will not be burdened by a judgment lien, the interests of the beneficiaries of the Real Estate Privacy Trust can be open to claims of its creditors.
What About Succession of Ownership?
With a Real Estate Privacy Trust, you can retain full control over your property with in the trust during your lifetime. You have the piece of mind knowing that it will flow directly to the beneficiary you choose-in some cases without the postponement caused by probate proceedings.
Is it Easy to Transfer Interest of a Real Estate Privacy Trust ?
A Real Estate Privacy Trust allows you to reassign a beneficial interest merely by assignment. As a deed is not necessary for this process, the formal necessities of acknowledgement and recording are eliminated. In addition, numerous beneficiaries can delegate a representative to direct the trustee in situations relating to the trust property. That can be very useful if a parcel of real estate held in a Real Estate Privacy Trust is going be sold or mortgaged and the beneficiaries are located all over the country.
Additionally, because the beneficial interest is considered personal property, the interest can be used for establishing loans according to the same principles as stocks, bonds, or other personal assets, without the limitations and rules and regulations of mortgages, title reports, and policies.
How do I Set Up a Real Estate Privacy Trust?
Real Estate Privacy Trust is formed by signing a legal trust agreement and transferring property to the trustee. Normally the trust agreement is signed at the time of acquisition of a piece of property, but may be signed anytime after the property has been acquired. In a Real Estate Privacy Trust agreement, the trustee is directed to hold the title to real estate for you. You notify the trustee of the individuals who will have the ability and power to oversee and control the property and you may choose the individuals who in due course will obtain it.
