Should I Title My Out-of-State Property in my Trust?

I often get the question from clients about whether they can title out-of-state real estate in their Arizona revocable trust.  The answer is yes.  In fact, most assets you own should be titled in the name of the trust.  This is called funding the trust and most people never complete the funding process.

As far as real estate located in other states, it should be titled in the name of your Arizona trust.  There are two main reasons for this.  First, if you own property in another state and do not title it in the name of your trust, you run the risk of having to file a probate in each state that you own real estate – this can be very costly and very time consuming.  Second, if you are married and your trust is structured correctly, you can benefit from the Arizona community property laws and have the real property treated as community property in the trust, which may reduce potential capital gains taxes.

If you have any questions or would like to schedule your free estate planning consultation, contact us today at 888.222.1328.

Morris Hall, PLLC
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