No one likes talking about trusts and estates, but precautions have to be taken in order to protect your estate. If they are not, your assets and money can be wasted languishing in probate court. Before time runs out, it’s important for you to meet with a Reno residential and commercial real estate lawyer who can make this process seamless and efficient. Even if you have very little to your name, you at least need to do some winding up of your affairs. A living trust is determined to be one of the best ways to distribute assets and has become extremely popular in estate planning. Learn more about the benefits of trusts and estates below.
Benefits of Reno Trusts and Estates
#1 Avoid Probate
The number one benefit of setting up a living trust is that your trustee and beneficiaries will get to avoid probate when it comes time to distribute the assets. Probate is a lengthy and expensive court-supervised process that distributes a deceased person’s estate, oftentimes in ways the deceased would have not approved.
Because probate is often costly and lengthy, it can delay and diminish a beneficiary’s inheritance. However, a living trust appoints a designated successor trustee who handles all of the grantor’s (deceased) assets according to their instruction. This eliminates the need for court intervention and sees that all assets including property are distributed to the beneficiaries under the wishes of the deceased. Not only does this save immense amounts of time and money, but it also saves you the headache of dealing with the family court.
#2 Save Money
As stated above, probate is costly. A living trust saves money by avoiding this expensive process and other expenses at the time of death. In fact, at our firm, the cost of drafting a trust now can save your estate thousands of dollars later.
#3 Protect Your Privacy
Wills are filed as a public record which makes their contents available to be read by the public. This means your private information can be seen and possibly even used by anyone. By setting up a living trust, you’ll avoid the probate process and protect your privacy and personal information.
#4 Prevent Conservatorship
In cases of incapacitation, a living trust and its related documents will help prevent the onset of a conservatorship. If the trust creator becomes seriously ill or incapacitated, then the person chosen as successor trustee can be granted control over their affairs. Since the successor trustee is chosen by the grantor, the trust and estate will be managed by someone of their choosing rather than the court system. This process helps avoid conservatorship and allows the grantor to retain control of their assets once they’re of sound mind.
Types of Trusts
There are two categories of trusts: revocable and irrevocable.
A revocable trust can be amended or revoked by the grantor during their lifetime. Changes to the trust can be made at any time and the grantor retains their rights over their trust. When the grantor passes, only then does their trust become irrevocable. Revocable trusts are secure and flexible.
An irrevocable trust cannot be modified or terminated by the grantor without permission from the beneficiaries. This leaves little to no control to the grantor over their estate. Essentially, assets that are held in an irrevocable trust can no longer be accessed by the grantor and are not considered their property anymore. Irrevocable trusts can be beneficial in certain situations, but most situations benefit more from the flexibility of the revocable trust.
Experienced Real Estate & Trust Attorney
Heather A. Ijames is highly knowledgeable in Reno property law and trusts. She can make the estate planning process a breeze, even coming to the home or facility of your loved ones who may be unable to travel. Heather can complete the drafting of these items in only a few hours at a fraction of the cost of other lawyers in town. This includes various documents such as a Reno Power of Attorney for your loved ones and much more.
Talk to a trusts and real estate lawyer to prevent unrecoverable damages or debt, square away guardianship for your children, and keep your property from probate.