is there an encumberance on real property that is in a trust under AZ estate planning laws
Chandler, AZ
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Posted about 1 year ago in Trusts
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trusts:
If there is an encumberance on a real estate property that is in a trust and that property if then taken out of the trust after the encumberance, does the encumberance remain with the property or remain in the trust.
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how will encumberance affect the property or how will it affect the value of a property??? Answers (2)Robert D. Mannor
This attorney is licensed in Michigan.
Posted about 1 year ago.
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Liens, easements and other encumbrances typically run with the land. Transfers in and out of a trust should have no effect.
Marc D McCain
This attorney is licensed in Arizona.
Posted 12 months ago.
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An encumbrance against real property is just that -- an encumbrance against the property, or land. If this is a typical encumbrance that runs with the land, e.g. a perpetual access easement, a restriction against certain uses, etc., whoever owns the land will be subject to the encumbrance. This is true regardless of whether the owner is a trust, an individual, or an entity and regardless of whether or how often the property is sold or transferred. Of course, there are exceptions to this general rule and each encumbrance can have language or terms that limit the duration of the encumbrance or provide for automatic termination on some future event.
If you need further assistance, contact McCain & Bursh, PLC, Attorneys at http://www.mccain-bursh.com.
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