Land trust are a unique asset protection tool for real estate holdings. Land trusts are only available in a number of states and Florida’s land trust laws were adopted to mirror Illinois which is the originator of the land trust concept.
Land trusts are unique because the convert real property interest into a contractual interest (a kind of personal property interest). This can provide a layer of asset protection for the investor.
Land Trusts in Florida
A Florida land trust s formed by written agreement to enable someone or an entity to hold property on your behalf while you maintain operational control of the property. Commonly used by Florida investors, the land trust in Florida provides privacy because the public record primarily identifies your Trustee as the owner. Liens, judgments and other claims are not as easy to attach to property held in trust.
An additional option is to add a second layer of protection by making a Florida LLC the beneficiary of the Florida land trust
A Florida land trust can also avoid probate in Florida if, in the land trust, you name a beneficiary upon your death. If you have a Florida revocable living trust as part of your Florida estate planning, you may name your revocable living trust as beneficiary and therefore, it will be devised according to your estate plan.
A Florida land trust can be helpful way to provide asset protection in Florida by deterring frivolous lawsuits. It is fair to say that people and attorneys often seek to sue people who own non-homestead property and this real property often becomes an easy target in such suits. The presence of a layer of asset protection may “encourage” a creditor to accept a settlement from your insurance company rather than going after real estate they can’t find.
Contact us today to get started and find out how a Florida Land Trust can compliment your asset protection plan.
The Gibbs Law Office is a Florida estate planning law firm that provides complete Estate Planning, Business Planning, Asset Protection, Elder and Medicaid Planning, Real Estate, Probate and Trust Administration legal services throughout the greater Fort Myers, North Fort Myers, Cape Coral, Estero, Bonita Springs and Naples geographic areas and most legal services are available statewide in Florida.
The Gibbs Law Office was founded in January 2009 upon the commitment to provide client-centered legal services.