Living Trusts are one of the most widely used and advantageous way to avoid probate.
All types of assets can be transferred to a trust including bank accounts, real estate, stocks, mutual fund shares, cars, jewelry, and business or farm interests. Living Trusts help accomplish the following:
- Maintain full control of your assets and manage your investments during your lifetime;
- Provide for the management of trust investments at your death if beneficiaries are minors or are inexperienced;
- Specify the circumstances under which distributions are to be made, when and in what amount; and
- A living trust is revocable and you have complete control over its assets during your lifetime.
There are no adverse tax consequences to transferring property into a living trust as you can always add, subtract, and modify any assets held in your trust as well as change the beneficiaries or the amounts they receive.
As the Trustee, you are deemed responsible for managing the estate property and seeing that all the terms of the trust are carried out - much like the way you currently manage your property.
When estate planning is done properly, there is no need for probate. However, the fact is that many people never quite get around to doing their estate planning before something happens. visit my website for more information
Originally posted at http://housesinsocal.com/probate-info/avoiding-probate/