I have called several title companies in Houston asking questions about closing a property in a land trust. Most of them don’t have a clue what I’m asking and one title agent put me on hold and never came back to the phone when he could not answer a question. However, I FINALLY talked with someone who seemed to know a lot about them.
I asked her if the trustee closes on the property with the buyers, whose name will be on the proceeds check. She stated that if the property is named “Jenny 123 Land Trust” then the proceeds check will be made out to the name on the trust. Well this seems to create a problem when trying to cash a check made out to the “Jenny 123 Land Trust”. How am I supposed to cash it? I asked her if they could make the check out to the beneficiary of the trust and she said probably not.
Does anyone who is more familiar and has closed on properties in land trusts know if the proceeds can be made out to the beneficiary? I have a book on Land Trusts and it states that the trustee can direct the title company to make the check out to the beneficiary. Also, please list title companies that you have worked with.