I was wondering if I should put my personal residence in a land trust, any info on the pros and cons would be appreciated
Why, what's the goal, do you know yet? Placing your residence in a Trust usually ties into estate planning goals, there can be some asset protection, but insurance is your best bet. Many here are sold on the asset protection theme when they don't even have enough assets to get involved with trusts, usually sold by the advocates of Trusts. If you have less than a million, you probably don't need a Trust for your residence. If you're sold on the hype to the contrary, you can get a Trust off the internet and hope for the best or drop $1,500-2,000 with your attorney and at least have it done properly. I don't see any pros to holding your residence in a Trust unless it's for estate purposes, the cons begin with the price, you should have a Will in addition to your Trust as well. You'll have some Trust administration, it should be reviewed and it's an on going expense if done properly. You may get into Trust accounting matters that can be an additional expense as well as filings, it's not a free ride. :)
Bill Gulley, General Real Estate Academy | https://generalrealestateacademy.com
Check your State Laws of whether or not if you were sued for whatever reason can your personal residence have a lien filed against it and stick. FL and TX have very favourable laws concerning this matter.
If you are trying to conceal your assets from public view that becomes difficult since you have left a paper trail. Mark Warda (attorney in FL) has written a book on this subject. I do not know whether it is still on Amazon.
I believe that doing so would cause you to lose the Section 121 exclusion advantages in the IRS code.
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!