Bulks Go

The Ultimate Secret of Trends

Understanding property

A deed of trust is a document or a contract which would appoint individuals or a company to hold a property on trust for another person. This essentially means that the person who the property belongs to would not be able to get the property or its assets straight away as it is being held by another person until the individual who owns it wants to have it.

For example, if a minor (who is 18 or under in the UK) has been given a property due to the passing of his/her parents, the minor legally cannot own that property or generate an income from it, etcetera, so the minor

would need a trust, e.g. an uncle, to hold that property until he/she turns 18 and can own it for themselves and do what they will with the property.

A deed of trust can also be known as a declaration of trust and can also involve other individuals with a financial interest in the property. According to Co-op Legal Services, the purpose of a deed of trust is to remove any insecurity as to what will happen to the individuals involved in the financial investment in the property. Outlining any financial measurements from the beginning can hopefully reduce any disagreements in the future.

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.