Title Insurance Requirements for Insuring Trusts

In today’s world of busy probate courts and exorbitant death taxes, the living trust has become a common manner of holding title to real property. The following may help you understand a few of the requirements of the title insurance industry if title to property is conveyed to the trustee of a living trust. What is a trust? An agreement between a trustor and trustee for the trustee to hold title to and administer designated assets of the trustor for the use and benefit of one or more beneficiaries. Can a trust itself acquire and convey interests in real property? No. The trust is an arrangement between a trustee and the trustor. Only the trustee, on behalf of the trust, may own and convey any interest in real property. The trustee may only exercise the powers granted in the trust. What will the title company require if a trustee holds the title to the property which is part of the trust? A certification of trust containing the following information: Date of execution of the trust instrument, Identity of the trustor and trustee, Powers of the trustee, Identity of person with power to revoke trust, if any, Signature authority of the trustees, Manner in which title to the trust assets should be taken, Legal description of any interest in the property held by the trust, and A statement that the trust has not been revoked, modified, or amended in any manner which would cause the certification to be incorrect and that the certification is being signed by all currently acting trustees of the trust My trust contains certain amounts of money to be given to various charities which is none of your business. Can I omit these pages? Because many different provisions may be on the same page, the answer must be no -- but if the title company requires a copy of the trust, it may accept a copy with those amounts blacked out. If there is more than one trustee, can just one sign? Maybe. The trust must specifically provide for less than all to sign. Can the trustee give someone a power-of-attorney? Only if the trust specifically provides for the appointment of an attorney-in-fact. What will the title company require if all the trustees have died or are unwilling to act? If the trustor is not able to do so, or the trust provisions prohibit the trustor from appointing a new trustee, the court may do so. How does a notary acknowledge the signature of the trustee? Title is vested in the trustee. Hence, if the trustee is an individual or a corporation, then the new general form of acknowledgment will be prepared to reflect the intrinsic nature of the trustee. How would the deed to the trustee ordinarily be worded to transfer title to the trustee? “John Doe and Mary Doe, as trustees of the Doe family trust, under declaration of trust dated January 1,1992.” Are there any limitations on what a trustee may do? Yes, the trustee is limited principally and most importantly by the provisions of the trust and, thus, may only act within the terms of the trust. The probate code contains general powers which, unless limited by the trust agreement, are sufficient for title insurers to rely on for sale, conveyance, and refinance purposes. Article by CLTA

Unwrapping the Magic: A Dazzling Experience at Christmas in the Wild, Zoo Tamp

Tis the season for joy, lights, and wild wonders at Zoo Tampa's Christmas in the Wild! In this enchanting holiday spectacle, I recently embarked on a magical journey filled with twinkling lights, majestic animals, and festive melodies. After seeing a segment on the news with our local newscaster Charlie Belcher, I decided I had to visit this extraordinary yuletide celebration that brings together the spirit of Christmas and the allure of the animal kingdom. As I entered Zoo Tampa, the holiday spirit enveloped me at the Circle Center—a mesmerizing hub of Christmas cheer. The grandeur of multiple trees adorned with brilliant lights set the stage for an unforgettable experience. The air was filled with the infectious excitement of visitors, and the sight of families and friends gathered around created a heartwarming atmosphere. The centerpiece of the Circle Center is the breathtaking light show that unfolds every 15 minutes. The symphony of lights dances to cheerful holiday tunes, creating a spectacle that captivates visitors of all ages. The vibrant colors and synchronized movements of the lights are nothing short of mesmerizing. But that's not all; brace yourself for a magical surprise as the show culminates in a delightful snowfall, transporting you to a winter wonderland right in the heart of Florida! Throughout the zoo there are many photo opportunities. The market place has a famous visitor, Santa. This is an opportunity to have your photo taken with Santa. Have a cup of cococo and write out your Christmas wish list then drop it off in Sant’s post box. If you're ready to immerse yourself in the magic of Christmas in the Wild, plan your visit to Zoo Tampa. Don’t forget, if you are not already a Zoo member take a look at their website. Membership has it’s benefits and supports the zoo animals. Embrace the holiday spirit and make this an enchanting event a part of your seasonal traditions-it’s a journey you won’t soon forget! This enchanting celebration runs throughout the holiday season, providing ample opportunities to create lasting memories with loved ones.

Living Trusts

Estate planners often recommend Living Trusts as a viable option when contemplating the manner in which to hold title to real property. When a property is held in a Living Trust, title companies have particular requirements to facilitate the transaction. While not comprehensive, answers to many commonly asked questions are below. If you have questions that are not answered below, your title company representative may be able to assist you, however, one may wish to seek legal counsel. Who are the parties to a Trust? A Family Trust is a typical trust in which the Husband and Wife are the Trustees and their children are the Beneficiaries. Those who establish the trust and transfer their property into it are known as Trustors or Settlors. The settlors usually appoint themselves as Trustees and they are the primary beneficiaries during their lifetime. After their passing, their children and grandchildren usually become the primary beneficiaries if the trust is to survive, or the beneficiaries receive distributions directly from the trust if it is to close out. What is a Living Trust? Sometimes called an Inter-vivos Trust, the Living Trust is created during the lifetime of the Settlors (as opposed to being created by their Wills after death) and usually terminates after they die and the body of the Trust is distributed to their beneficiaries. Can a Trust hold title to Real Property? No, the Trustee holds the property on behalf of the Trust. Is a Trust the best way to hold my property? Only your attorney or accountant can answer that question. Some common reasons for holding property in a Trust are to minimize or postpone death taxes, to avoid a time consuming probate, and/or to shield property from attack by certain unsecured creditors. What taxes can I avoid by putting my property in trust? Married persons can usually exempt a significant part of their assets from taxation and may postpone taxes after the first of them to die passes. You should check with your attorney or accountant before taking any action. Can I homestead property that is held in a Trust? Yes, if the property otherwise qualifies. Can a Trustee borrow money against the property? A Trustee can take any action permitted by the terms of the Trust, and the typical Trust Agreement does give the Trustee the authority to borrow and encumber real property. However, not all lenders will lend on a property held in trust, so check with your lender first. Can someone else hold title for me “in trust?” Some people who do not wish their names to show as titleholders make private arrangements with a third party Trustee; however, such an arrangement may be illegal, and is always inadvisable because the Trustee of record is the only one who is empowered to convey, or borrow against, the property, and a Title Insurer cannot protect you from a Trustee who is not acting in accordance with your wishes despite the existence of a private agreement you have with the Trustee.

Insist on a Home Inspection

A professional home inspection protects both you and the buyer. It allows both you and the buyer the opportunity to learn about the property’s defects. A home inspection usually covers the following: Plumbing conditions - if there is leakage or clogging Roofing conditions - the extent of deterioration, if there is leakage Electrical conditions - if there are inadequate circuits or potential fire hazards Structural problems - if there are problems with the underlying foundation of your home As a seller, the home inspection reports protect you because it establishes the actual condition of the property at the time of sale.