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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Getting straight... Posted by Ward-CA- on September 12, 2003 at 4:53 PM In Reply to: Let me get this straight.... posted by Gary on September 12, 2003 at 9:33 AM : Ward: : Let me get this new arrangement straight. In a subject-to purchase: : 1. Suzie Seller grants property from seller to THT with Suzie Seller as trustor and trustee. : 2. Suzie Seller as trustee then grant deeds to Zachary Buyer as successor trustee with Suzie Seller remaining as beneficiary. : 3. Suzie Seller sends letter to insurance, lender, and homeowner?s assoc. announcing that she has placed her property into her trust and then subsequently named a new trustee. : 4. Suzie Seller then sells beneficial interest of the trust to Zachary Buyer with money and/or a note changing hands at this time. : I have a couple of follow-up questions: : A. Do I have the updated arrangment correct and in the right order? : B. What problem does this new arrangement solve? Title? Refinance lender? New buyer's lender? : C. Are there any red flags for title insurance for Zachary Buyer or his new buyer? That is, is this better, same or worse when working with title? Do I need additional docs signed by Suzie Seller? For example, do I need two Certification of Trusts (one from S. Seller and one from Z. Buyer)? : D. Assuming the grant deeds in steps 1 and 2 are recorded in the right order, is there a problem that the two grant deeds are recorded on the same day? : E. Can I have Suzie Seller grant property into her own trust, as in step 1 above, during the 5-day rescission period of a equity purchase contract? : Thanks Ward, : Gary =?=?=?=?=?=?=?=?=?=?= Gary, A. It's right on, except in #2 when Suzie Seller executes the 2nd deed, it's a few days or a week later, and it's at that time that Suzie sells her beneficial interest to Zachary Buyer. B. One of our graduates sent us a copy of a form letter that a seller of his received recently (July, 2003) from Wells Fargo in Fort Mills, SC. One of their mandated requirements is that the "..mortgagor must be Trustor and Trustee and must be named as such;" C. Same. You just need a Certification of Trust from Suzie Seller for the purpose of sending a copy of it to the lender and the insurance company when sending them a copy of the transfer deed from Suzie Seller to Suzie Seller as Trustee of the Seller Trust. D. (See A above) The second deed should be executed a few days later so the letter to the lender and insurance company is true and accurate (that at that time the seller was just transferring their property's title to their trust). E. Absolutely. And that's another reason why I don't think it's good to have you become her trustee during those 5 days. Hope this helps Gary. Follow Ups: Re: Getting straight... Lughead 8:36 PM, 09/12/03 (0) Post a Followup: Name : E-Mail : Subject : Comments: : : Ward: : : Let me get this new arrangement straight. In a subject-to purchase: : : 1. Suzie Seller grants property from seller to THT with Suzie Seller as trustor and trustee. : : 2. Suzie Seller as trustee then grant deeds to Zachary Buyer as successor trustee with Suzie Seller remaining as beneficiary. : : 3. Suzie Seller sends letter to insurance, lender, and homeowner?s assoc. announcing that she has placed her property into her trust and then subsequently named a new trustee. : : 4. Suzie Seller then sells beneficial interest of the trust to Zachary Buyer with money and/or a note changing hands at this time. : : I have a couple of follow-up questions: : : A. Do I have the updated arrangment correct and in the right order? : : B. What problem does this new arrangement solve? Title? Refinance lender? New buyer's lender? : : C. Are there any red flags for title insurance for Zachary Buyer or his new buyer? That is, is this better, same or worse when working with title? Do I need additional docs signed by Suzie Seller? For example, do I need two Certification of Trusts (one from S. Seller and one from Z. Buyer)? : : D. Assuming the grant deeds in steps 1 and 2 are recorded in the right order, is there a problem that the two grant deeds are recorded on the same day? : : E. Can I have Suzie Seller grant property into her own trust, as in step 1 above, during the 5-day rescission period of a equity purchase contract? : : Thanks Ward, : : Gary : =?=?=?=?=?=?=?=?=?=?= : Gary, : A. It's right on, except in #2 when Suzie Seller executes the 2nd deed, it's a few days or a week later, and it's at that time that Suzie sells her beneficial interest to Zachary Buyer. : B. One of our graduates sent us a copy of a form letter that a seller of his received recently (July, 2003) from Wells Fargo in Fort Mills, SC. One of their mandated requirements is that the "..mortgagor must be Trustor and Trustee and must be named as such;" : C. Same. You just need a Certification of Trust from Suzie Seller for the purpose of sending a copy of it to the lender and the insurance company when sending them a copy of the transfer deed from Suzie Seller to Suzie Seller as Trustee of the Seller Trust. : D. (See A above) The second deed should be executed a few days later so the letter to the lender and insurance company is true and accurate (that at that time the seller was just transferring their property's title to their trust). : E. Absolutely. And that's another reason why I don't think it's good to have you become her trustee during those 5 days. : Hope this helps Gary. 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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