I am buying a property “subject to” and placing into land trust with the name of the trust being the sellers last name or address. I have not done this in person before, so my question is are they(clerks at recorders office) going to challage the reason why I am doing this process instead of the homeowner and if so how does one handle that?
Thank you,
Paul
Dear Paul,
I have found the clerks in the local recorders office very helpful. I am in the courthouse doing research from time to time, so I’ve made it a point to become “friends” with the clerks. I engage them in polite conversation because they can be very helpful.
I’m sure there are plenty of clerks out there who will give you a hard time, but I have not found this to be normal. Remember that these are government employees and they are there to do their job. As long as you follow the proper bureaucratic process, they shouldn’t give you a hard time.
I hope this answer was helpful to you…
Jeff
Did you have the seller sign a limited power of attorney with you? If so bring the POA with you when recording the Deed to Trustee. These clerks are used to having third parties filing deeds.
or
Bring with you a Property Manager appointment letter from Trustee with you to the Recorder’s Office, just in case they ask, “who are you”?
or
Bring the Trustee of the newly formed Trust along with you (or maybe you are the Trustee? If so you or whoever the Trustee is, he or she is allowed to file the Deed, on behalf of the Trust).
+++++++++++++++++++++++++++++++++++++++++++++
You would be an “authorized agent” for the Trust, using any of the examples above, giving you the power to file and record the said Deed to Trustee.
Happy holidays!
Robert
Realtor/Mortgage Broker/Investor/LLC/The Renaissance Trust
Paul,
If the trust is in the seller’s name, it tells me you are creating the trust and then having them sign the beneficial interest over to you. You are thinking this will hide the transfer, protect you from the DOS and protect assets.
All of this is unnecessary. Plus you will lose deals trying to introduce something the seller doesn’t understand and would therefore be leary.
When I buy Sub2 using a trust, I simply draw up the deed directly from them to a trust I have created using a name I have chosen. Often the seller is unaware of this until closing. If they ask who is this trust? I simply tell them that’s the business name I like to take title in. They sign and have never raised an eyebrow.
It is a heck of a lot simpler than getting your seller involved in the trust business. Works like a charm.