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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: Title Holding Trust - Irrevocable or revocable Posted by Eric - CA on September 25, 2001 at 10:42 AM In Reply to: Title Holding Trust - Irrevocable or revocable posted by Matt on September 25, 2001 at 9:26 AM Obviously I am not Ward, but I am 95% sure he is going to tell you he uses a revocable trust so that he can make any changes/terminations/etc. whenever he wants. Irrevocable is more of an estate tax avoidance tool, whereas the Title Holding Trust is a tool to allow privacy, separte legal titles so as not to cloud more than one in case of a problem, could avoid probate, allows for transfer of ownership without the need to record anything (thus it typically doesn't trigger due on sale clauses). Why do they care as to irr or rev? Is it due to the fact that they only want to insure owner occupied properties? I would think that their primary question would be whether it is a rental or owner occ. rather than how title is held to determine the premiums. Ward will have more info, but that is my understanding in CA anyway. You may want to post your state, as it may impact the answer. : Ward, : I am close to buying a house that will be titled to a trust with me as trustee. The homeowner's insurance company is placing a lot of importance on whether it's a revocable or irrevocable trust, and the answer will have impact their coverage cost. (I think they demand irrevocable). Which type do you use? Is either one OK if the intent is to flip the property in a few months? : Thanks Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : Obviously I am not Ward, but I am 95% sure he is going to tell you he uses a revocable trust so that he can make any changes/terminations/etc. whenever he wants. : Irrevocable is more of an estate tax avoidance tool, whereas the Title Holding Trust is a tool to allow privacy, separte legal titles so as not to cloud more than one in case of a problem, could avoid probate, allows for transfer of ownership without the need to record anything (thus it typically doesn't trigger due on sale clauses). : Why do they care as to irr or rev? Is it due to the fact that they only want to insure owner occupied properties? I would think that their primary question would be whether it is a rental or owner occ. rather than how title is held to determine the premiums. : Ward will have more info, but that is my understanding in CA anyway. : You may want to post your state, as it may impact the answer. : : : Ward, : : I am close to buying a house that will be titled to a trust with me as trustee. The homeowner's insurance company is placing a lot of importance on whether it's a revocable or irrevocable trust, and the answer will have impact their coverage cost. (I think they demand irrevocable). Which type do you use? Is either one OK if the intent is to flip the property in a few months? : : Thanks Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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