A revocable living trust is a legal entity that holds and manages assets for your benefit during your lifetime and provides for the transfer of these assets to beneficiaries upon your death – all without the need for probate. As the name suggests, this type of trust is “revocable,” which means you, as the trustor or grantor, can modify or dissolve it anytime while you’re alive and mentally competent.
Key Benefits of Placing Your Home in a Revocable Living Trust
1. Avoiding Probate: One of the main advantages of a revocable living trust is bypassing the often lengthy and expensive probate process. Probate is a public, court-supervised process to transfer assets from the deceased to their rightful heirs or beneficiaries. By holding your home in a trust, you ensure a seamless transition to your named beneficiaries without the hassles or delays of probate.
2. Maintaining Privacy: Unlike wills, which become public records once they enter the probate process, trusts operate privately. That means the terms of your trust and details about your assets (including your home) remain confidential.
3. Flexibility: Remember, a revocable living trust is just that – revocable. So, if your circumstances or wishes change, you can amend the trust, sell the property, or even remove it from the trust altogether.
4. Protection in Cases of Incapacity: A crucial aspect often overlooked is the protection offered if you become mentally incapacitated. Without a proper plan, the courts might appoint a conservator to oversee your affairs. With a revocable trust, the successor trustee (a person you’ve chosen) can step in and manage your assets, including your home, without court intervention.
5. Continuity: Homes often have ongoing obligations – mortgage payments, taxes, maintenance, and more. A smooth transition to a successor trustee ensures that there’s no disruption in addressing these responsibilities.
We Can Help
We create revocable living trusts for our clients every day. Start by booking a Peace of Mind Planning Session. You’ll fill out a Family Profile Questionnaire, and we’ll talk about your goals and concerns. Then we’ll present your options and our flat fees. If we decide we’re a good fit to work together, we’ll discuss next steps. Book a Peace of Mind Planning session to get started today!
