Florida – December 26, 2021
When an individual has real estate assets that they want to make certain are utilized in a particular fashion, and have privacy of ownership protection, an Orlando real estate attorney can answer questions regarding a Florida land trust and initiate actions toward preparing a trust when real estate owners need them. A Florida land trust is a private agreement among several people to operate, manage, and hold legal title to Florida real property under the laws of the Florida Land Trust Act.
Benefits of a Florida land trust.
- Privacy. Public records searches will not identify owners and save them from unwanted solicitation during sales negotiations or from tenants who should work with property managers instead of owners.
- Private transfer of ownership. A person may transfer their interests in a land trust property by privately assigning it through a sale or gift, away from the public eye.
- Homestead exemption. Beneficiaries of a Florida land trust can qualify for homestead exemption for tax purposes and forced sales, depending upon the situation.
- Taxes and fees. Expenses that may include title insurance and other transfer and recording fees may be avoided. A real estate attorney can explain how this will affect a real estate owner’s unique circumstances.
- Avoid probate. Florida land trusts can immediately transfer property to successor beneficiaries without probate action.
- Lien avoidance. When a creditor records a judgment it may show up against an individual’s property, but land trust is personal property and a judgment creditor will not be able to make a judgment lien on property owned in a land trust.
- Partnership alternative. When two or more individuals share investment in real property, they need a written agreement that states the specifics of the business arrangement. A land trust agreement can set forth similar specifics, but avoid filing fees.
- Asset protection. Even though land trusts are not fully bulletproof protection, they can hide ownership from public records, but creditors have many remedies to assert against a debtor’s personal property interest in a land trust such as an IRS tax lien.
Administering a trust.
Experienced real estate attorneys in Florida can serve as the trustee on a land trust in Orlando. Aside from their ability to independently administer certain actions with regard to rental property, which may involve the use of other professionals, they can oversee all activities regarding land trust properties. Since an individual beneficiary cannot handle evictions of tenants from their owned rental properties, the trustee will probably have to hire an eviction attorney to bring action on behalf of the land trust. Additionally, the trustee is involved in all real estate transactions that may include rental agreements, property listings, permit applications, contracts, and other necessary legal actions involving the properties of the land trust. Trustees are considered legal and public owners, and a provision for payment is usually incorporated in the land trust document itself. If you think you would benefit from and land trust agreement to protect your ownership of Florida property, contact a real estate attorney in Orlando to discuss you needs.
Seek legal counsel.
Experienced Florida real estate attorneys at Legal Counsel P.A. can review property documentation, discuss wishes of owners, and in consideration of the Florida Land Trust laws, set up a trust that will focus on the unique and qualified needs of the individuals who own the designated properties.
Legal Counsel, P.A.
189 S. Orange Ave., Ste. 1800
Orlando, Florida 32801