What are the Benefits of Establishing a Florida Land Trust?
Are you seeking a low-cost solution for privacy and asset protection for your real estate in the state of Florida?
Then considering obtaining a Florida Land Trust!
There are a few ways to own property in Florida. Most citizens just own it outright - their name are discoverable on Florida’s county deed records for all to see. However, what if there exists another way to own property, one that gives you more privacy and protection? Read on to learn more about the benefits gained by establishing a Florida land trust.
The Florida Land Trust is an affordable and uncomplicated method for holding legal title to real estate, whether you are a US citizen or foreigner. The Florida Land Trust is a fully revocable grantor trust drafted specifically to buy, hold, finance, and sell Florida real estate in a confidential or private manner in accordance with the Florida Land Trust Act.
There are quite a few benefits of buying and holding property in a Florida Land Trust. The most customary option is to keep your ownership interest in Florida real estate confidential and private. Holding property in a Florida Land Trust also lessens most of the liability associated with real property ownership while simultaneously maintaining most of your rights of ownership including, legally claiming the Homestead exemption if the property is your primary residence.
Who Can Create a Florida Land Trust?
The Florida Land Trust can be created and used by any individual, any group of individuals, any general partnership, any limited partnership, any other revocable or irrevocable trust, another trustee or trust services provider such as an out-of-state trust company or bank, any limited liability company (LLC), any corporation, or any other type of business establishment.
The person or legal entity that established a Florida Land Trust is typically referred to as the Trustor, Grantor or Settlor ("Trustor"). The Trustor is generally the Beneficiary as well.
What are the Advantages of Using a Florida Land Trust?
Security: You can be certain that your interests in the property won’t be partitioned with a land trust (i.e sold or split). It is also simple to transfer beneficial interests.
The Beneficiary’s Privacy: In a land trust, the interests of beneficiaries are private. Fundamentally, they can’t be revealed without a court order. There are also no public records documenting the beneficial interests.
Asset Protection: The beneficiaries of a land trust are not liable, solely by being beneficiaries, under a judgment, decree, or order of court or in any other manner for a debt, obligation, or liability of the land trust. Furthermore, a judgment against a beneficiary will not be associated with the underlying land held in the trust.
Continuity: A beneficiary’s death doesn’t terminate the trust in a Florida Land trust. There can even be testamentary dispositions (any gift of any property by a testator under the terms of a will) in the trust.
Homestead Protection: With Florida Land Trusts, you can safeguard your property with homestead exemption. However, the beneficiary has to be ordinarily eligible for homestead protection.
Each of the above referenced benefits is highly dependent upon your unique situation. For a complimentary and confidential consultation with an experienced Florida real estate lawyer, please call our office at: (954) 361-5370 or email us at colin@colinblackwood.com.