The Advantages of a Personal Property Trust

In another article, we described exactly what a property trust is, but that does not necessarily mean you understand how having your property in a trust can benefit you. It's worth it to take a closer, case specific look at personal property trusts in order so that you can start to think about whether using one is right for you.

Privacy

Privacy is the one advantage we covered in depth in our explanatory article, so we're not going to go into it extensively here. The main point is that with your property held in trust, ownership is not a matter of public record. This, in turn, gives rise to several other advantages.

Avoid Tenants

There are a lot of reasons why a property owner would wish to avoid being contacted by tenants, leaving the job of interactions up to a property manager. Having your property title held in trust means a tenant will have to do some serious digging to find out who the real landlord is, so you will only have to deal with business matters.

Transaction Privacy

Some people want to buy large pieces of property all at once, for any number of different reasons. Again, if property is your business, you may want to hide title ownership so competitors don't know what you are doing. It also helps keep people from knowing that you are buying up land in one specific area, so that they won't drive up prices on you.

No Probate

If you're like the majority of people out there, you don't like the idea of a bunch of additional costs incurred by dying. Having property held in trust means avoiding probate and all its expenses; instead, you tell the trustee who your successor beneficiary is, and the ownership is granted to that person without the probate process.

Refinancing made easy

People who hold property in partnership have a big hassle ahead of them whenever a financial process takes place regarding that property. A trust can eliminate all of the extra paperwork by requiring the signatures of only the trustee, rather than all the beneficiaries.

Cut Down on Costs

Owning real estate means a lot of recurring costs, every year. With a trust, filing fees and other costs are eliminated, only the trust fee must be paid.