What is a Title Holding Trust?
The Title Holding Trust is an easy, convenient and inexpensive strategy for real estate investors to buy and hold legal title to real estate or even personal property. The trustee of the Title Holding Trust holds title to the real estate or personal property under the terms of a trust agreement. The beneficiaries of the Title Holding Trust retain 100% of the ownership rights. The trustee merely holds legal title to the property.
Creation of the Title Holding Trust
Anyone can set-up and take advantage of a Title Holding Trust, including individuals, a group of individuals, partnerships, limited partnerships, limited liability companies, and/or corporations.
The trustee of the Title Holding Trust acquires and holds legal title to the real estate or personal property. The beneficiary(ies) of the Title Holding Trust retains ownership and has the power of direction. The trustee can not act without the written authorization of the beneficiary.
Management of the Property
The beneficiaries manage the property or hire property managers or other agents to oversee the property on their own behalf. The beneficiaries collect the rent or income and pay the expenses. The beneficiary insures, develops, finances, leases or sells the real property as deemed appropriate.
Fully Revocable
The Title Holding Trust is a fully revocable grantor trust and may be revoked or additional real estate or personal property can be contributed into the trust at any time. The trustee merely executes deeds, trust deeds, leases and otherwise deals with the property only upon written direction by the beneficiary.