Contract for beneficial interest

General Real Estate Investing
1

Is there such an animal as a Contract for beneficial interest?
Kinda similar to contract for deed.

Property is in a trust with investor as 100% beneficiary and he wants to sell with financing but wants to maintain some control. So instead of parting with the deed, he leaves it in the trust and sell the beneficial interst on contract. After buyer pays agreed price in full or find new financing, property is deeded to buyer.

DOSC, insurance issue and all that is eliminated.

What exit strategy are the Texans using for their subject to acquisitions?
Thanks

2

The trust will need to be restated. There are too many conflicts of interest with what you have presented and if it’s a typical revocable trust, the buyer can simply remove the investor after the transaction is complete.

3

BLL
Can you elaborate ? What is meant by restated?
Thanks

4

The trust must be re-written. A trustee cannot act in a way inconsistent with the trust, which was formed to benefit the original beneficiary, i. e. the investor.