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Orlando, Florida Land Trusts Lawyers
A Florida land trust is governed by Section 689.071, Florida Statutes. A Florida Land Trust may be established for a variety of reasons. A Florida Land Trust may be established for intestate purposes, to make it easier for heirs to inherit property. Florida Land Trust may be established by one individual or by partnerships or groups of individuals to protect their anonymity when making land purchases or investments. One of the benefits of a Florida Land Trust is that it grants the owner(s) a degree of anonymity. Most Florida Land Trusts are established to keep the identity of the beneficiary of the land trust confidential.
The most common arrangement for a Florida Land Trust is where the property owner or owners remain the primary beneficiary of the trust. The Trustee is the person or entity designated in the trust agreement to hold legal and equitable title to real property of a land trust. Sometimes the Trustee is a person, but sometimes a trustee might be a law firm that acts as the trustee or some other entity. The Trustee of the Florida Land Trust is vested with full power and authority to protect, conserve, lease, encumber or otherwise manage and dispose of real property pursuant to Section 689.071, Florida Statutes and same must be enumerated in the land trust agreement.
If you are considering creating a Florida Land Trust, consider Legal Counsel, P.A. which employs a Florida Land Trust lawyer who may be able to assist you and help you understand the benefits and drawbacks of a land trust in Florida. Have questions? We have answers. Call Legal Counsel, P.A. at 407-982-4321.
Benefits of a Florida Land Trust
There are several benefits to a Florida Land Trust. To better understand the benefits of establishing a Florida Land Trust, it may be best to contact Legal Counsel, P.A. which employs a Florida Land Trust lawyer an Orlando, Florida . Here are some of the general benefits of a Florida Land Trust:
- Anonymity. A Florida Land Trust can provide privacy for individuals who may not want to reveal their identities when purchasing property or high-value real estate. Only the name of the Trustee and the name of the trust agreement are public records. Anonymity can protect individuals from needless lawsuits because the names of trust beneficiaries cannot be revealed without a court order. If anonymity is important to you and your business, a Florida Land Trust may be appropriate.
- Legal protection. If you plan to go into business with multiple partners and purchase real estate, establishing a trust can protect all parties in the transaction should one party face a lawsuit. If all parties are beneficiaries of a Florida Land Trust, then a creditor going after one party cannot go after the property in the trust. When investing with multiple parties, a Florida Land Trust might be one way to protect your rights.
- Favorable Taxation. Another great advantage of a Florida Land Trust is favorable taxation provided to the beneficiaries of a Florida Land Trust. The beneficial interest in a Florida Land Trust is considered personal property (not real property). The beneficiaries of a Florida Land Trust are taxed at a capital gains tax rate (not as ordinary income). Additionally, the beneficiaries of a Florida Land Trust may take advantage of tax deductions, depreciation, and expenses that may flow to the beneficiaries.
- Transferring property to heirs. Many individuals or couples who own land or real estate establish trusts so that their heirs can avoid probate. Normally, when real estate is transferred to heirs after death, the heirs must go through the probate court to obtain title to the real property. Probate may require heirs to pay back taxes, debts, and satisfy other legal obligations before the heir can acquire the property. With a Florida Land Trust, a beneficiary can name successor beneficiaries who will inherit the role of the initial beneficiary after the death of the initial beneficiary. This can help heirs avoid probate. Before deciding on whether to convey your property to a Florida Land Trust, contact Legal Counsel, P.A. in Orlando, Florida which employs a land trust lawyer who may be able to help you understand your options.
- Preparing for illness or life changes. As we get older, our ability to manage our affairs might change. As you plan for your estate, one thing to consider is what will happen to the management of your land, rental properties, or real estate should you become ill or incapacitated. A Florida Land Trust can help you prepare for these changes and can help you designate a person (Trustee) who will manage these affairs of the properties should you become too sick or incapacitated to do so.
What are some drawbacks of land trusts? The drawbacks include the costs associated with the Trustee managing the Florida Land Trust. Often beneficiaries will pay a law firm or individual to be the Trustee of the Florida Land Trust. It is important to balance the cost of the Florida Land Trust with the potential benefits the trust can provide. Have questions about whether a Florida Land Trust is right for you, reach out to Legal Counsel, P.A. today at 407-982-4321.
Land Trusts for Conservation in Florida
Another type of land trust is one that is established to conserve and protect natural resources. Florida is a rich ecosystem with many tracts of land that can provide protection to bird life, plant life, and a range of recreation opportunities. Property owners may donate their land to conservancy projects and not-for-profits, and this can also come with certain tax benefits and breaks. When property owners donate their land for conservation, they may draw up specific rules about how the land can and cannot be used. Usually this type of land trust includes rules about land use to ensure that the land is conserved for future generations. The land may be used for recreational use but development and mining may not be permitted, for example. If you are considering donating land for conservation or starting a conservation land trust, reach out to Legal Counsel, P.A. which employs a Florida land trust lawyer who can walk you through all steps of establishing a conservation Florida Land Trust in Orlando, Florida. Have questions? We have answers. Contact Legal Counsel, P.A. today at 407-982-4321.
Protect Your Land and Future
A Florida Land Trust is only useful in very specific circumstances. However, if you are considering establishing a Florida Land Trust, it is important that you do it right and manage the trust properly. If you have questions about whether a Florida Land Trust is right for your investment plan, business, real estate plan, or for your estate planning, reach out to Legal Counsel, P.A. which employs a Florida Land Trust lawyer who can help you understand the options you might have. Have questions? We have answers. Contact Legal Counsel, P.A. today at 407-982-4321.