Posted by Long Beach Ed on December 16, 2002 at 09:06:36:
Mc,
You should probably search the archives for the answers to your broad questions. I can offer some information.
The Land Trust is a private agreement wherein you entrust the title to your property to a trustee. That trustee’s actions are directed by you, the beneficiary.
A deed is recorded placing the title in the trustee’s name. You no longer own the real estate. You now own beneficial interest in the land trust, which is personal property.
The trust agreement is generally not recorded, so your involvement can be confidential. That is the land trust’s major benefit. Privacy. There are few real tax benefits, and limited liability protection.
Again, privacy is the biggest benefit. Afterall, most contingency lawyers would not take a case without knowing the assets involved.
To set up a land trust, you need a deed in trust and a land trust agreement. You also need a trustee, who can be virtually anyone you trust.
The subject can become very complex, so be sure to research well before you try this. Bill Bronchick’s course is an excellent place to start…
The land trust can be used for many creative financing arrangements. Take a look at Bill Gatten’s PACTrust for some ideas (landtrusts.net).
I’d be glad to answer any specific questions you may have.
Long Beach Ed