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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] When sending the model letters... Posted by Gary on September 23, 2003 at 10:49 PM In Reply to: Change to counter lender's moves posted by Ward-CA- on September 23, 2003 at 8:01 PM : : Ward: : : A while back I read an answer you gave to a THT line of questioning. Here it is with my request for clarification: : : ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ : : : : Zachary, : : : : As long as you haven?t recorded the deed yet it isn?t too late to make them the trustee initially, so that the lender only sees their name as the trustor and trustee on the Certification of Trust and transfer deed. : : : If you are confident it will be sold in 2 months you have nothing to worry about. It would take the lender 4 mos. to foreclose anyway. If the interest rates on this loan are higher than today's present rates the bank will probably not want to "call in the loan" anyway. : : Ward, : : Well now I'm confused. I thought the strategy for implementing the THT was as follows: : : Trustor: owner/seller....Donald Trump...selling: New York City : : Trustee: investor/buyer...Daddy Warbucks, LLC : : Beneficiary: owner/seller...Donald Trump : : The trust created by the investor/buyer would be: : : Daddy Warbucks, LLC, as Trustee of the New York City Trust, dated 9/12/03 : : or : : Daddy Warbucks, LLC, as Trustee of the Trump Trust, dated 9/12/03 : : Is one of these preferred as more effective against the Due-On-Sale? : : Is this incorrect or has there been a change to the THT strategy? : : Once the seller has been paid the $2,000 for executing a grant deed with Daddy Warbucks, LLC, as the trustee, and then the $3,000 and a PDOT for assigning their beneficial interest to Daddy Warbucks, LLC, the property would belong to Daddy Warbucks, LLC. : -=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=- : Jim, : About a month ago we received a copy of a form letter by Wells Fargo (WF) as to what they now require to see regarding transfering one's property into what WF thinks is a living trust. : One of those requirements is that their borrower must show as their own trustee on the deed transfering their property's title into their trust, rather than some other party or entity. : So now we've reverted back to showing the transfer deed going from say Michael Jordan, as owner, to Michael Jordan, Trustee of the Jordan Trust, dated 09-23-03. : Then Jordan sends out the model letters to the lender and the insurance carrier. After that Jordan would deed the trusteeship from himself to Financial Fitness, LLC as Successor Trustee of the Jordan Trust, dated 09-23-03. : Sorry for the confusion. Hope this helps. Ward: When sending out the model letters, the seller is telling the lender, insurance, and homeowner's assn. that the property has been placed into the seller's revocable trust. Does the letter state the original trustee (seller) or the successor trustee (buyer)? I'm led to believe by your post that you would list the original trustee. If so, would you follow it up with a similar letter to the same parties stating that a successor trustee has been named and that the successor trustee is the designated owner and point of contact from this point forward? Thanks, Gary Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : : Ward: : : : A while back I read an answer you gave to a THT line of questioning. Here it is with my request for clarification: : : : ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ : : : : : Zachary, : : : : : As long as you haven?t recorded the deed yet it isn?t too late to make them the trustee initially, so that the lender only sees their name as the trustor and trustee on the Certification of Trust and transfer deed. : : : : If you are confident it will be sold in 2 months you have nothing to worry about. It would take the lender 4 mos. to foreclose anyway. If the interest rates on this loan are higher than today's present rates the bank will probably not want to "call in the loan" anyway. : : : Ward, : : : Well now I'm confused. I thought the strategy for implementing the THT was as follows: : : : Trustor: owner/seller....Donald Trump...selling: New York City : : : Trustee: investor/buyer...Daddy Warbucks, LLC : : : Beneficiary: owner/seller...Donald Trump : : : The trust created by the investor/buyer would be: : : : Daddy Warbucks, LLC, as Trustee of the New York City Trust, dated 9/12/03 : : : or : : : Daddy Warbucks, LLC, as Trustee of the Trump Trust, dated 9/12/03 : : : Is one of these preferred as more effective against the Due-On-Sale? : : : Is this incorrect or has there been a change to the THT strategy? : : : Once the seller has been paid the $2,000 for executing a grant deed with Daddy Warbucks, LLC, as the trustee, and then the $3,000 and a PDOT for assigning their beneficial interest to Daddy Warbucks, LLC, the property would belong to Daddy Warbucks, LLC. : : -=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=- : : Jim, : : About a month ago we received a copy of a form letter by Wells Fargo (WF) as to what they now require to see regarding transfering one's property into what WF thinks is a living trust. : : One of those requirements is that their borrower must show as their own trustee on the deed transfering their property's title into their trust, rather than some other party or entity. : : So now we've reverted back to showing the transfer deed going from say Michael Jordan, as owner, to Michael Jordan, Trustee of the Jordan Trust, dated 09-23-03. : : Then Jordan sends out the model letters to the lender and the insurance carrier. After that Jordan would deed the trusteeship from himself to Financial Fitness, LLC as Successor Trustee of the Jordan Trust, dated 09-23-03. : : Sorry for the confusion. Hope this helps. : Ward: : When sending out the model letters, the seller is telling the lender, insurance, and homeowner's assn. that the property has been placed into the seller's revocable trust. Does the letter state the original trustee (seller) or the successor trustee (buyer)? I'm led to believe by your post that you would list the original trustee. If so, would you follow it up with a similar letter to the same parties stating that a successor trustee has been named and that the successor trustee is the designated owner and point of contact from this point forward? : Thanks, : 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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