In my last Fairfax VA blog post, I discussed with you the difference between LLC and LP entity ownership and joint tenancy, tenants in Common, tenants in the entirety.
In Part B of Insider Secret Number 15, you will learn about:
c.) Trusts: Grantor vs. Non-grantor. Which offers asset protection and which one offers tax avoidance?
Defer or avoid Estate Taxes. Protect your Asset and your Heirs:
Two Types of Trusts.
Estate taxes can be quite disappointing to many people, especially when they have built up even a moderately sizable estate. These taxes can reach as much as 50%, or more, of a person’s estate.
When putting your house in a trust, you need to know there are two popular types of trusts and many other minor types. They are the Grantor Trust for estate planning and the Non-Grantor trust — which also helps with fending off lawsuits.
This is an area where you should consult an estate planning attorney for a better understanding of the many benefits, as well as the difference of each type of trust.
These trusts aren’t that expensive. Some of them cost anywhere from only a few hundred dollars, up to a couple of thousand for an entire package of not only a trust, but the entire foundation of an estate plan. It’s very reasonable.
The Grantor Trust: This trust is designed to help you bypass thousands of dollars in estate taxes. And it also helps you bypass the lengthy legal probate process, which can take many, many months — and also cost thousands in legal and court expenses associated with it.
The Grantor trust also offers the flexibility of having the right to remove the property form the Trust in the future if you should ever want to. So it has many flexible benefits and is very inexpensive.
The Non-Grantor Trust:This trust has some similar advantages, but also offers asset protection components that are not found in the Grantor Trust.
When a property is put in a Non-Grantor Trust, it cannot be removed from this Entity – and this is partially the reason for the added advantage of creditor and law suit asset protection.
Since you no longer, ‘technically,’ own the property anymore, you are not the person, who would be associated with a controlling interest to that wealth – even though you or your heirs may be involved with some, or all, of its benefits and wealth-producing capabilities
Anyone, who doesn’t have their home in a trust, with even a modest amount of equity in a property, really needs to look into it because of the many legal benefits. The ‘cost to benefit ratio’ is very advantageous.
You can find out more about how we are currently using Insider Strategies learned from my Real Estate Radio show to save homebuyers tens thousands of dollars on their home purchase and financing everyday right here in Northern Virginia, just check out my free Live online webinar, at www.HomebuyerInsideSecrets.com, that’s http://www.homebuyerinsidesecrets.com/.
You can also get all of these insider techniques applied to your personal home purchase with our Free ‘Insiders Access Homebuyer Savings Program’ and get a minimum guaranteed savings of $25,000 or more. And the best part is we guarantee you save at least $25,000 or more with my exclusive strategies, plus the service is no cost to you. Go to www.NovaHomeSavings.com and find out why even other Realtors and mortgage lenders actually use me as their buyer broker on their own personal home buying transactions, instead of relying on themselves, that’s www.NovaHomeSavings.com.
Thanks for reading this,
Thierry is a Real Estate Agent at RE/MAX Premier, and Host of Talk Radio’s, “Inside Real Estate”
Thierry & his team Guarantee a $25,000 minimum savings for Northern VA Homebuyers by applying his unique insider techniques & strategies that he discovered throughout 8 years of exclusive Radio Interviews & Insider Access to wealthy Real Estate Insiders, Investors & Top Industry experts.
Phone: (703) 222-6714.
Copyright 2010 Inside Real Estate, LLC. All Rights Reserved.