What is a living property trust?

A living trust, specifically a revocable living trust, is a legal document that places your assets—investments, bank accounts, real estate, vehicles and valuable personal property—in trust for your benefit during your lifetime, and spells out where you’d like these things to go upon your death.

Is personal property included in a trust?

While much of the focus during an estate or living trust administration may lie with the real estate that was owned by the decedent, the remainder of the trust property or estate assets may consist of items of personal property. Personal property includes such items as clothing, furniture, and jewelry.

Can a property be passed to a living trust?

Only property that was legally transferred to the living trust before the deceased person’s death can pass under the terms of the trust. Start with the trust document. It probably lists property that the settlor (the person who set up the trust) at least intended to transfer to the trust.

Who is the trustee of a living trust?

Your Living Trust outlines who you’d like to receive your property after your death, and who should manage the distribution of that property. While you’re alive, you place your property into the Trust and manage it yourself as the Trustee – just as you do now.

How are assets listed in a living trust?

Often, the assets are listed on an attachment to the trust document, called a schedule. It’s common to find real estate, bank accounts, and heirlooms in a trust. Just listing an item on a property schedule, however, doesn’t mean that the item is automatically held in the trust. It must be legally transferred.

Where do I find property in a trust?

Start with the trust document. It probably lists property that the settlor (the person who set up the trust) at least intended to transfer to the trust. Often, the assets are listed on an attachment to the trust document, called a schedule. It’s common to find real estate, bank accounts, and heirlooms in a trust.

What happens to property in a living trust?

A revocable or living trust allows you to maintain full legal control and ownership of the trust, including the properties and assets, until the time of your death. This means you can add/remove assets or properties anytime you want, change beneficiaries, and even dissolve the whole thing should your situation change.

Who are all the people in a living trust?

In most living trusts created in the United States, the trustor, trustee and beneficiary are all the same person. Why do people create living trusts? In many areas of the country, selling living trusts is big business.

Who is the beneficiary of a living trust?

The trust must have a purpose. The person for whose benefit the trust is created is called the “beneficiary.” A living trust is revocable. That means that even though the trustor transfers assets to a living trust, the trustor can get his or her property back by revoking the trust.