Land Trusts
Will someone please explain how to become a land trust on a property and what is the process of transferring the deed as a land trust? I have done some research on what a land trust is, but I am uncertain about the procedure and what happens next once I become a trustee of the title.
I plan on performing a double closing once I get this property Im currently negotiating under contract, and I need to know if I can be a land trust on the property...
Also, when I assign a contract.
Does this make sense? Because even Im a little lost reading my own question...lol.
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[ Edited by axiomonellc on Date 03/29/2008 ]
The trust itself is a private document that really should be drafted by an attorney, especially if you do not feel confident that you understand what you are trying to accomplish. The deed to transfer the property is just like any other deed, it just names the trust as the grantee.
Most likely you do not want to be the trustee; I suspect you want to be the beneficiary of the trust. Again, if you are not clear on this a couple hundred bucks spent on an attorney to explain could save you a world of grief.
Chris
Thank you for the advice
That sounds like the safest way to do it. I want to reduce my liabilities.
The info mentioned in this specific forum was highly informative. I would like to know where to find more info on laws concerning Bilateral and Unilateral Contracts. From what it sounded like it like, on the earlier post it is true that an earnest money deposit for a purchase agreement. I remember reading in a Robert Allen book that there was no law which stated that an earnest money deposit was needed for a purchase agreement.
For a contract to be valid there must be a consideration. A monetary consideration is not essential, but is certainly the easiest way to ensure that this requirement is met. A promise to perform can be considered a consideration, but if there is a "weasel clause" it could be argued that there was no promise, thus no valid contract. $10 in earnest money can save you a discussion in court as to the validity of your consideration, and thus your contract. Think of it as cheap insurance.
Chris
Chris do you have any experience with land trusts in AZ as it is my understanding that they are not recognized (as legal protection) in my state by many people use them anyway.