Property Trusts

Property trusts are specialised legal arrangements designed to protect your property assets and ensure they pass to your chosen beneficiaries according to your wishes. These trusts can provide significant advantages in terms of inheritance tax planning, avoiding probate, and protecting assets for future generations.

Types of Property Trusts

There are various types of property trusts, each serving different purposes:

• Property Protection Trusts - Often used in wills to protect a share of your property for your children while allowing a surviving spouse to continue living in the home.
• Life Interest Trusts - Allow a beneficiary to live in or receive income from a property for their lifetime, after which the property passes to other beneficiaries.
• Discretionary Trusts - Give trustees discretion over how and when to distribute property or assets to beneficiaries.
• Bare Trusts - Simple trusts where the beneficiary has an absolute right to the property and any income it generates.

Benefits of Property Trusts

Setting up a property trust can offer several advantages:

• Protection from care home fees - In certain circumstances, property in trust may be protected from assessment for long-term care costs.
• Inheritance tax planning - Properly structured trusts can help reduce inheritance tax liability.
• Avoiding probate - Property in trust typically passes outside of probate, saving time and money.
• Protection for vulnerable beneficiaries - Ensures property is managed appropriately for those who may not be able to manage it themselves.
• Protection from divorce or bankruptcy - Can help shield property from claims in the event of a beneficiary's divorce or financial problems.

Our Property Trust Services

At Praetorian Wills & Estate Planning, we offer comprehensive property trust services:

• Personalised advice - Expert guidance on the most appropriate trust structure for your specific circumstances.
• Trust creation - Professional drafting and establishment of your property trust.
• Trustee services - Acting as professional trustees or providing guidance to your appointed trustees.
• Ongoing trust administration - Assistance with the ongoing management and compliance requirements of your trust.