Land Trust vs. Title Holding Trust

I'm often asked what the difference is between a Land Trust versus a Title Holding Trust, so I thought I would quickly post a response to this question.  Generally, there is no difference between the Land Trust or the Title Holding Trust.  The trust document used might vary a little from state to state and the preferred language varies from state to state, but the Land Trust and the Title Holding Trust are really one and the same trust product. 

Land Trust

The Land Trust was initially introduced into the United States in the State of Illinois.  This is why you will most often hear the Land Trust Referred to as the Illinois Land Trust.  In fact, Illinois is one of the few states that actually has a section of law that specifically deals with the Land Trust. 

There are a few other states that also specifically recognize the Land Trust such as Florida with the Florida Land Trust and Virginia with the Virginia Land Trust. 

Title Holding Trust

California has been using the Land Trust for years as well.  It has been referred to by various names in California, including the Land Trust, Private Trust, California Land Trust, etc.  I rolled it out and named it the Title Holding Trust in 1989 because we had too many inquiries that thought the Land Trust was only for holding vacant land.  The Land Trust can be used to hold legal title to any type of property, so the Title Holding Trust seemed to be the likely and most appropriate name for it. 

Comments

[nibiansiopsix]

Fantastic, I didn't know about that up to the present. Thanx!

[John Smith]

I love the anonymity of land trusts when buying and selling real estate