• Find a Home
    • Search by City or Neighborhood
    • South Bay RE News
    • Open Houses
      • Open Houses in El Segundo CA
      • Manhattan Beach Open Houses
      • Redondo Beach Open Houses
      • Torrance Open Houses
      • Hermosa Beach Open Houses
      • Palos Verdes Estates Open Houses
      • Rancho Palos Verdes Open Houses
      • Hawthorne CA Open Houses
    • All Manhattan Beach
      • Hill Section
      • Sand Section
      • Tree Section
      • Manhattan Village
      • East Manhattan Beach
      • East Manhattan – S of MB Blvd
      • Liberty Village
    • All Redondo Beach
      • North Redondo Beach
      • South Redondo Beach
      • The Village and Seascape
    • Hermosa Beach
    • El Segundo
    • Torrance
    • Palos Verdes
      • Palos Verdes Estates
      • Rancho Palos Verdes
      • Rolling Hills
      • Rolling Hills Estates
    • Hollywood Riviera
    • Hawthorne
      • Hollyglen and Del Aire
        • Three Sixty South Bay
        • Fusion South Bay Townhomes – Gated Community in Hawthorne
    • 55+ Senior Communities
    • Oceanfront Homes
    • Lawndale
    • Gardena
    • Marina Del Rey
    • Westchester
  • FREE Listing Updates
    • Entire South Bay
    • Manhattan Beach
    • Redondo Beach
    • Hawthorne, Hollyglen, 360 and Fusion
    • Torrance
    • Plaza Del Amo
  • Buyers
    • Search South Bay Homes
    • Search for homes
    • Buyer & Seller FAQs
      • Helpful Home Buyer Tips and Questions
      • First Time Home Buyer Tips, Information and Advice
  • Sellers
    • Your Home’s Value
    • Recent South Bay Sales
    • Our Listing Presentation
    • What’s A CMA?
    • Listing and Selling
    • How We Market Homes
    • How We Sell Homes
    • Client Testimonials
  • Neighborhoods
    • Search by Neighborhood
    • Schools
      • El Segundo Schools
      • Hermosa Beach Schools
      • Redondo Beach Schools
      • Wiseburn School District
      • Torrance Schools – Information on the Torrnance USD
      • Manhattan Beach Schools
        • Manhattan School Boundary Map
        • Homes in Meadows area
        • Homes in Pennekamp area
        • Homes in Pacific area
        • Homes in Robinson area
        • Homes in Grandview area
      • Palos Verdes School District
      • Lawndale School District
        • Lawndale School Boundary Map
    • El Segundo
    • Hawthorne
    • Hermosa Beach
    • Lawndale
    • Manhattan Beach
      • Sand Section
      • Manhattan Village
      • Tree Section
      • Hill Section
      • East Manhattan
    • Palos Verdes
      • Real Estate Map
    • Redondo Beach
      • North Redondo Beach
        • The Golden Hills
      • South Redondo Beach
        • Village Oceanview Condos
        • Brookside Village
        • The Esplanade
        • The Avenues
      • Hollywood Riviera
    • Torrrance
      • North Torrance
      • Walteria and Victoria Knolls
      • Central Torrance & Plaza Del Amo
      • Harbor Gateway & County Strip
      • Plaza Del Amo
      • Southwood
      • West Torrance
      • Gated Communities Plaza Del Amo
      • South Torrance
    • Three Sixty South Bay – Gated Resort Style Living
    • Fusion South Bay Townhomes – Gated Community in Hawthorne
    • Foreclosures and Short Sales
    • Hollyglen and Del Aire
    • Harbor City
    • Lomita
  • About
    • Real Estate Trends and Statistics
    • Median Home Prices
    • Recent Home Sales
    • Client Testimonials
    • South Bay Realtor Keith Kyle
    • Vista Sotheby’s
    • Tax Information
      • Capital Gains Tax
      • 1031 Exchange
      • Property Tax FAQs
      • Props 60 and 90
      • Ways of Owning
      • Homeowner’s Exemption
  • Real Estate Blog
  • Home

Real estate and homes for sale in the South Bay

Keith Kyle Realtor - Vista Sotheby's International Realty

You are here: Home / Real Estate / Understanding Living Trusts

Understanding Living Trusts

December 4, 2020 by admin

You may have heard that  living trusts are a valuable option when contemplating the manner in which to hold title. When a property is held in a living trust, title companies have particular requirements to facilitate the transaction.

Who are the parties to a trust?
From a real estate perspective likely the most common trust is the family trust in which the spouses/parents are the Trustees and their children, the beneficiaries. Those who establish the trust and transfer their property into it are known as trustors. After their passing, their children and grandchildren usually become the primary beneficiaries if the trust is to survive, or the beneficiaries receive distributions
directly from the trust if it is to close out.

What is a Living Trust?
Sometimes called a Inter-vivos Trust, the living trust is created during the lifetime of the trustor, as opposed to being created by their wills after death, and usually terminates after they die and the body of the trust is distributed to their beneficiaries.

Can a Trust hold title to Real Property?
No. The Trustee holds the property on behalf of the trust.

Is a Trust the best way to hold my property?
Only your attorney or accountant can answer this question.  As realtors are not attorneys nor CPAs, we cannot provide advice on this.  Having said that, some common reasons for holding property in a trust are to minimize or postpone death taxes, to avoid a time consuming probate, and to shield property from attack by certain unsecured creditors.

What taxes can I avoid by putting my property in a Trust?
Married persons can usually exempt a significant part of their assets from taxation and may postpone taxes after the first of them to die passes. You should check with your attorney or accountant before taking any action.

Can you homestead property which is held in a Trust?
A trustee can take any action permitted by the terms of the trust, and the typical trust agreement does give the trustee the authority to borrow and encumber real property. However, not all lenders will lend on a property held in a trust, so check with your lender first.

Can Someone else hold title for me “In Trust?”
Some people who do not wish their names to show as title holders make private arrangements with a third party trustee.  This arrangement may be illegal, and is always inadvisable because the trustee of record is the only one who is empowered to convey, or borrow against, the property, and the title insurer cannot protect you from a trustee who is not acting in accordance with your wishes despite the existence of a
private agreement you have with the trustee.

Filed Under: Real Estate

Own Your Piece of the South Bay Lifestyle

https://youtu.be/SJcrcHl9U5Y

Recent Manhattan Listings

See all Manhattan Beach Homes for Sale

Recent Redondo Listings

See all Redondo Beach Homes for Sale

Your South Bay Realtor

Keith Kyle

Realtor, Top Producing Agent Since 2007

Top 1.5% of Realtors Nationwide 2021

310.251.2344 (cell/text) Keith@KeithKyleHomes.com DRE# 01718725

South Bay Real Estate

Search Our Site

 
Manhattan Beach
Hermosa Beach
North Redondo
South Redondo
El Segundo
Torrance
Palos Verdes Estates
Rancho Palos Verdes
Hollywood Riviera
Hollyglen
Lawndale
Hawthorne
Gardena
Manhattan Village
Rolling Hills Estates
MB Sand Section
MB Tree Section
MB Hill Section
East Manhattan
Oceanfront Homes
The multiple listing data appearing on this website, or contained in reports produced therefrom, is owned and copyrighted by California Regional Multiple Listing Service, Inc. ("CRMLS") and is protected by all applicable copyright laws. All listing data, including but not limited to square footage and lot size is believed to be accurate, but the listing Agent, listing Broker and CRMLS and its affiliates do not warrant or guarantee such accuracy. The viewer should independently verify the listed data prior to making any decisions based on such information by personal inspection and/or contacting a real estate professional. The information being provided by CRMLS & CARETS is for the visitor's personal, noncommercial use and may not be used for any purpose other than to identify prospective properties visitor may be interested in purchasing. The data contained herein is copyrighted by CARETS, CLAW, CRISNet MLS, i-Tech MLS, PSRMLS and/or VCRDS and is protected by all applicable copyright laws. Any dissemination of this information is in violation of copyright laws and is strictly prohibited. Any property information referenced on this website comes from the Internet Data Exchange (IDX) program of CRISNet MLS and/or CARETS. All data, including all measurements and calculations of area, is obtained from various sources and has not been, and will not be, verified by broker or MLS. All information should be independently reviewed and verified for accuracy. Properties may or may not be listed by the office/agent presenting the information.
  • El Segundo
  • Hermosa Beach
  • Three Sixty
  • Manhattan Beach
  • PVE
  • RPV
  • Redondo Beach
  • Torrance
  • Fusion