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What is the procedure for properly 'funding' a revocable living trust?

What is the procedure for properly 'funding' a revocable living trust?

Q: How to put a house in a trust in NC?

To place a house in a trust in North Carolina, prepare a new deed that names the trust as the owner. Sign the deed in the presence of a notary, then file it with the county recorder's office. This process legally transfers ownership of the property to the trust.

Q: What are the disadvantages of putting property in trust?

Some disadvantages of putting property in a trust include potential costs for setting up and maintaining the trust, loss of control over the property during your lifetime, and possible tax implications. It's essential to weigh these factors and consult with a legal professional before proceeding.

Q: How much does it cost to set up a trust in NC?

The cost to set up a trust in North Carolina can vary widely, typically ranging from a few hundred to several thousand dollars, depending on the complexity of the trust and the attorney's fees. It's advisable to obtain quotes from several attorneys to understand the potential costs involved.

Q: What is the biggest mistake parents make when setting up a trust fund?

One of the biggest mistakes parents make when setting up a trust fund is failing to properly fund the trust with assets, such as real estate or investments. Without funding, the trust cannot serve its intended purpose. It's crucial to ensure that all intended assets are transferred into the trust.

Full question:

What is the procedure for properly 'funding' a revocable living trust by placing a home into the trust? By way of background, my husband and I (who live in Mecklenburg County North Carolina)recently used the USLegal Forms site to purchase and complete a will, living will, and power of attorney documents which we are about to place into a bank safe deposit box. We also recently purchased a USLegal Forms Revocable Living Trust but I'm unsure how to properly 'fund' the trust by placing the house into the trust.

Category: Trusts
Date: 04/07/2025
State: North Carolina

Answer:

In order to fund a trust with a house, the house needs to be transferred to the trust. Typically this is done by the present owners preparing a deed transferring their ownership to the trust and recording the deed at the county recorder's office in the county where the property is located. For example, in a case where a husband and wife are the sole joint owners, the deed's grantors are husband and wife and the grantee is a trustee. If the grantee is a person acting as a trustee, the person is named in his/her capacity as a trustee, rather than personally, as an individual. In NC, the deed must be notarized at the time of signing.

Please see the information at the following links:

http://definitions.uslegal.com/r/real-estate-deeds/
http://www.uslegalforms.com/deedforms/
http://lawdigest.uslegal.com/estate-planning/trusts-overview/
http://definitions.uslegal.com/t/trustee/
http://definitions.uslegal.com/t/trusts/
http://www.ehow.com/how_4491466_real-estate-property-living-trust.html

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

How do I put my house in a trust in North Carolina?

To put your house in a trust in North Carolina, you need to create a new deed that transfers ownership from you to the trust. You will be the grantor, and the trust will be the grantee. The deed must be signed in front of a notary. After signing, you must record the deed with the county register of deeds in your county.