- This topic has 4 replies, 3 voices, and was last updated 8 years, 3 months ago by
HLS.
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August 14, 2016 at 2:50 PM #22092August 15, 2016 at 9:51 AM #800618
SK in CV
ParticipantYes to living trust. No to just putting kids on the title. Yes to refinancing unless current net interest on all debt is insignificant and expectation is that grandma isn’t going to be around for long and property will be sold afterwards. Yes to living trust. Just for emphasis and in case you didn’t catch it the first and second time, yes to living trust.
August 15, 2016 at 11:51 PM #800650HLS
ParticipantYou really need to get legal advice.
The situation now will probably require the estate to be probated.
The minimum charge for an attorney to handle the probate is probably $4000 and can take 6 months to a year to settle.
The house cannot be sold during this period.A living trust should avoid probate and make transfers possible very quickly. A basic trust can be done with a legal professional for $500-$1000. With basic assets, it’s simple.
Anything with legal title should be put into the trust,
house, cars, bank accts etc.Joint bank accts may not need to go into the trust.
POD (Payable on death) accts may or may notAdding kids to property title could trigger a reassessment for
property taxes as of date of transfer.Refinancing doesn’t solve the probate issue.
As SK said, get the Living Trust asap AND don’t forget to fund the trust (i.e. transfer title of assets into the trust)
make sure it’s done correctly.It will cost a lot less than probate and save months of aggravation
Check this out http://piggington.com/living_trust_plan_wwwlivingtrustplancom
August 16, 2016 at 12:12 PM #800662Participant[quote=HLS]Refinancing doesn’t solve the probate issue.
As SK said, get the Living Trust asap AND don’t forget to fund the trust (i.e. transfer title of assets into the trust)
make sure it’s done correctly.[/quote]
Great addition, I should have included that part. DO NOT FORGET TO FUND THE TRUST!.
I’ve seen trusts created a dozen times, the trustor dies and nothing was ever put into the trust. It makes the trust worthless. Put all real estate into trust. Put bank accounts and investment accounts into trust. If there are significant other assets of any kind (including valuable personal property) put them into the trust and make sure there is a paper trial recording which assets are being put into the trust, and each transfer must be signed by the grantor of the trust.
And while that’s being done, a new will should say that anything that isn’t in the trust, goes to the trust upon death, unless previously dealt with. (IRA’s and other retirement accounts should NEVER go into the trust.)
August 16, 2016 at 12:29 PM #800663ParticipantRealistically it’s more difficult to identify personal property in a trust;
jewelry, collectibles, gold. silver, china, collectibles, stamps, coins etc as they often tend to mysteriously disappear after someone’s death.Legally titled assets, real property, vehicles & bank accounts are the important titled assets that should go into the trust.
I think that most trusts these days include a provision for a
‘pour over will’ meaning anything not explicitly mentioned automatically goes into the trust upon death but the more heirs there are the more disagreement there is likely to be
(i.e. Grandma said *I* could have her bicycle when she died)A trust doesn’t need a bicycle or a washing machine or a ping pong table, etc
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