Living Trust - What is It?
A Living Trust is a legal document that looks a lot like a will. Actually, it does what most people think a will does - and much more. Because there is no probate with a Living Trust, all expensive court proceedings and delays are eliminated, privacy of the family and the heirs is preserved, and the emotional stress is minimized. A Living Trust can also reduce or eliminate estate taxes.
Who Should Have a Living Trust?
Married or single, old or young - just about everyone can benefit from a Living Trust. Especially, if you have children and even more so if you are a single parent or own property. If you would like to be sure that your loved ones will not have to deal with the process known as Probate when something happens to you, you need a Living Trust.
How Does a Living Trust Avoid Probate?
When you create a Living Trust, you transfer all your property from your own individual name to the name of your trust, which you control - such as "Bill and Mary Jones, husband and wife" to "Bill and Mary Jones, Trustees of the Bill and Mary Jones trust." Technically the person(s) creating the Living Trust own nothing after the property is transferred to the Living Trust, so there is nothing to probate when you die or if you become incompetent.
Is it Difficult to Transfer Property Into My Living Trust?
To the contrary, it is very easy to do. You can transfer your home into the trust by executing and recording a grant deed. This will not trigger a reevaluation of your property for real estate tax purposes or disturb your mortgage in any way. We can assist you with the actual transfers of property to your Living Trust to ensure it is done properly. You can, in fact, do much of it yourself with the assistance of our written instructions that come free with your Living Trust documents.
What Should I Put Into My Living Trust?
To completely avoid the possibility of Probate for any assets, you should put everything you own into the Living Trust. All real estate titles should be changed (Both Georgia and all other states) and all other property with formal titles such as checking/savings accounts, CDs, mutual funds, automobiles, stocks or stock accounts, bonds, etc. Most trust documents automatically include your personal property without formal titles such as art works, home furnishings, jewelry, clothing, etc.
Do I Lose Control of the Property I Put Into My Living Trust?
No! You keep full control over all the property in your Living Trust. As the Trustee of your Living Trust, you can do anything with it that you could do before the Living Trust - that includes writing checks on your accounts, buying or selling property, making changes, even canceling the Living Trust if you want to do so for any reason.
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