Reasons for putting property into a trust include saving on estate taxes, avoiding probate, and having someone manage the trust and the property in it if the trust maker is ever unable to do so himself, states SFGate. Placing property into a trust can also help prevent creditor attacks.Continue Reading
A trust maker can save on estate taxes by placing his property in a trust if he sets the trust up the right way, notes SFGate. Financial plans for the estate should also be efficiently designed. While the trust maker can save on estate taxes, setting up a living trust usually offers no other favorable tax treatments.
The probate process is often expensive and time-consuming, and can include several court hearings, according to SFGate. Transferring home titles into trusts helps to avoid the probate process in the trust maker's current state as well as in other jurisdictions for any property that's out of state.
If a trust maker ever falls ill or is otherwise unable to take care of his finances, he can designate a trustee or have his co-trustee safeguard his home and the contents of the trust, says SFGate. To take full advantage of this specific feature, the trust should be a living revocable trust.Learn more about Financial Planning