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Have you recently completed your Estate Planning with an Attorney? Did that include a Revocable or Irrevocable living trust?
Signing a trust isn’t the end of Estate Planning; you also need to fund a trust, otherwise the trust is worthless. Knowing how to fund a trust is vital for the trust to accomplish its goals.
Guiding Hummingbirds can help you. Funding a trust involves transferring property to the trust. An asset not transferred to the trust is not owned by the trust and will be subject to probate (unless you’ve used another technique to avoid probate).
How to fund a trust varies depending upon the nature of the property. You can transfer ownership, or, in some cases, designate the trust as a beneficiary upon your death.
Your trust document should include a statement similar to: “The name of my Trust, and the designation to be used for the transfer of title to my Trust, is: Sam Smith, trustee, or his successor in trust, under the Sam Smith Revocable Living Trust, dated June 6, 2017.” The official name of your trust will be used on deeds, certificates of title, and assignment of interest documents, as well as on beneficiary designations.
Transferring Real Property
Transferring real property to a trust requires a deed; usually a quit claim deed. The deed needs to be executed as required by law in the state where the property is located, with the required witnesses, notary provision, recording with the appropriate agency, etc. You may need to file a copy of the trust document, or a summary of the trust called a certificate of trust or an affidavit of trust. The summary is preferable because it is typically one or two pages and avoids having the details of the trust document in the public record.
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