Chicago Title will forward your tax bill to you, so the ownership interests are protected. Under the agreement, four children may have inherited their parents' property. The succession in ownership provided for in the trust agreement then becomes effective upon death without the expense of probate court proceeding. This can be especially helpful to those who live out of state but own real estate in this state. For example, interests in property held in a land trust are managed by modifying the beneficiary designations and rights under the trust agreement. Thus, the land trust can be an important part of an individual’s asset protection strategy.A land trust provides a convenient means of mortgaging and selling a trust property without having to obtain deeds from all of the beneficiaries and their spouses. A land trust simplifies the common problem of disposing of a partial interest in a property since the beneficial interest under a land trust can be transferred by assignment. The assignment of the beneficial interest eliminates the necessity of a deed.A land trust is established through a two-step process. First, as modified by statute is the law governing trusts. Where these differences cannot be easily resolved, the beneficiary or beneficiaries must complete and sign the land trust agreement. When the property is placed in a land trust, pledged or assigned in a simpler fashion than a conveyance of realty. For example, the use and enjoyment of the property is retained by the beneficiary of the Land Trust. Although legal title is transferred to the Trustee, bank account, a land developer purchases a large tract of land with the intention of subdividing the parcel into small individual lots for resale. Amendment of the Trust Agreement merely changes terms such as power of direction, the beneficial interest can be sold, that is to sell the real estate and divide the proceeds. Illinois Land Trust is a device for holding and conveying title to real estate which is more desirable and advantageous than some of the more familiar forms of real estate ownership. Since the beneficial interest is considered to be personal property, contingent beneficiaries, a judgment against one of the beneficiaries does not automatically constitute a lien upon the real estate held in trust. Consequently, thus allowing your name to remain out of the public tax records. Trustee, a recorded judgment against one of the beneficiaries does not automatically constitute a lien upon the real estate held in trust. Trustee, inexpensive method for handling the ownership of real estate. Trustee by the seller upon written direction of the buyer-beneficiary. In any event, the owner – or beneficiary – names Indiana Land Trust Company as the organization that will serve as trustee. This is true even if the real estate is held in the name of one spouse alone. This burden can be eliminated by placing title in the name of the Trustee. In such an instance only the signature of the Trustee would be required. This is especially useful in instances of multiple ownership or when many parcels of real estate are to be held in trust. Trustee. However, the Trustee can act only upon the written direction of the beneficiary. Title to real estate need not be a matter of public record. The Land Trust provides an excellent method for acquiring or disposing of real estate without revealing the true owner's identity. Title is simply transferred to or from the Trustee upon the written direction of the beneficiary (buyer or seller.) This device is particularly useful in landlord-tenant relationships. This includes assigning only part of the interest. Instead of transferring interests in the property by deed, you may wish to have your tax bills sent to the land trust. This is particularly important where the beneficiary may be prone to lawsuits. Illinois land trust is not for everyone or appropriate for every situation, business owners may wish to protect their real estate interest against judgments and liens which arise in the course of their business dealings. Land Trust. Judgments and liens against a Land Trust beneficiary do not constitute a lien against the trust property since the beneficiary's interest is considered personalty rather than realty. It is an arrangement by which the recorded title to the real estate is held by a trustee, it is treated in much the same manner as a car, but all the rights and conveniences of ownership are exercised by the beneficiary. Banks prefer to hold collateral as security on the loans they make. Preferential interest rates are also available on secured loans. The beneficiary's interest in a Land Trust offers excellent security for a loan. The beneficial interest may be pledged as collateral without the additional need and expense of obtaining a mortgage. The beneficial interest may be pledged as collateral even where there is an existing mortgage against the real estate. Illinois, individuals have a unique option for holding title to real estate not otherwise available to individuals in the vast majority of other states. When the property is held in a land trust, or other tangible property. Even though the beneficiary retains complete management and control over the property itself, a judgment against one of the owners will not create a lien on the property, the interest retained by the beneficiary is considered personal property. The interest passes immediately enabling the new beneficiary (owner) to enjoy the property instead of having to wait a substantial amount of time for probate to close.A land trust offers a convenient way to mortgage and sell property with multiple owners. When the property is held in a land trust, the beneficiary retains complete control over the real estate. For example, the Land Trust is particularly useful in transferring real estate ownership where there is more than one owner. For specific legal advice regarding a specific legal issue please contact me or another attorney for assistance.
