Florida Land Trust

( Note: Please use the following link to go to the American Bar Association website

 and search for "Florida Land Trust". The search will bring back references to PDF files called

“Uses of land Trusts in preserving family farms” and to “Exhibit B Florida Land

Trust Agreement” for a detailed explanation; but in all cases please see a Lawyer

to develop this legal instrument when it’s a fundamental concern that property

ownership does not become a financial or legal burden.)

General Overview

A Land Trust is a versatile tool for those holding property because it avoids probate. A Land Trust

allows for the immediate transfer of ownership without the necessity  of a probate proceeding.

Keeping it out of the court system saves money and long delays. Please see the page entitled

Definition of an Investment Buyer for additional information for investors.

•   Adds privacy. Your identity is not a matter of public record through a Land Trust because it is

the legal titleholder of the property and will not reveal your identity unless commanded by some

legal action.

·         Of course, a Land Trust does not prevent lawsuits or enable you, as the beneficiary of a trust,

     to avoid attachment of property for satisfaction of a legal judgment.

•  Facilitates borrowing. From a lender’s point of view, it may be desirable to have a bank, as land

trustee, sign a mortgage. A trustee can waive the right of redemption of the mortgage, whereas

an individual cannot. Also, an individual can use their beneficial interest in a Land Trust as collateral

toward a secured loan.

•  Facilitates multiple ownership. When there are several owners of a piece of property or when land

is being developed into many lots for a subdivision, a Land Trust provides the convenience of having

one titleholder to sign the mortgages and deeds and other matters governing the legal title.

•  Protects multiple owners: The death, divorce or incapacity of one of the multiple owners under a

Land Trust may not necessarily prevent the other owners from doing transactions affecting the real estate.

·         Avoids dividing land among multiple owners: Each owner can be assured that no partition lawsuit can

      be filed against a Land Trust to split or divide the land among the multiple owners.

•   Permits gifting: A Land Trust is an acceptable way to make gifts by the assignment of a percentage of the

 beneficial interest in and power of direction over the real estate held by the trustee. A Land Trust does not

 circumvent any tax laws. Before considering a Land Trust for gift purposes, please consult your tax or other

 financial advisor.

•  Avoids additional administration: If you are a resident of another state and own real estate a Land Trust

will avoid additional probate Administration. That’s because you will own the property through the trust,

which is personal property, rather than real estate, which is real property.