Loans for Irrevocable Trusts

Loans for homes in an irrevocable trust

Loans for homes in an irrevocable trust

According to financial leaders who own firms that provide loans for irrevocable trusts and property tax relief programs, in concert with Proposition 58, Prop 193, and Proposition 13 – typically saving  homeowners over $8,500 in extra taxes every year – the news is that property owners in California should consider accomplishing any property transfers to heirs, that may be planned either as a sale, a gift or an inheritance, or a hybrid – prior to or by Feb. 15, 2021…

Feb. 15th being the final day one can access original Proposition 58 or Prop 193 property tax break benefits – to save money on the initial transfer, plus thousands of dollars on yearly property taxes, as the tax assessor comes around to collect, so to speak.  

To reiterate, as you probably already know, Proposition 58 allows parents in California to transfer property to their children without triggering a property tax reassessment. And as you most likely are aware, you must be the son or daughter of a parent that resides, and owns property, in California – in order to qualify for a “parent to child exclusion” (also referred to as a parent to child exemption) – from reassessment, in terms of the current market value of family owned real property.

Conversely, Proposition 193 allows grandparents to transfer property to their grandchildren, with a “grandparent to grandchild exemption” – without having to worry about current market property tax reassessment.  It’s worth noting that the Proposition 193 exclusion is workable only if the Proposition 58 exemption cannot be used.  In other words, to put it bluntly, parents of the grandchildren in question must be deceased.  That may sound harsh, however it is important to know the facts.

To be safe and secure, experts are telling us right now to be aware of certain changes to the Proposition 58 “parent to child exclusion” tax break – and to remain aware of time as a serious factor. We are told that we should view Feb. 15, 2021 as a formal deadline for completing a family property transfer or intra-family trust for a trust loan – not for paperwork signatures, or a postmark date. With potential county closures mounting up, the completion of this sort of transaction in person could very well continue to be a challenge, and backlogs affecting paperwork sent through the mail could be an issue at some point.  

As of February 16, 2021, family property transfers must be used as a primary residence, to avoid property tax reassessment at current market value; maintaining the invaluable right to avoid property tax reassessment.  Fortunately, Californians will still be able to take advantage of a property tax break as long as they are using inherited property as a primary residence, within a year of the passing of the decedent who is leaving the property to his or her children; typically as an inheritance.    

However, we do need to be aware that it is the next generation of property owners, in the future, that may incur higher property taxes due to new tax laws, or shall we say a revised version of the same   property tax break protected by CA Proposition 58.  The point being, with new changes to property tax law in California, with the right to avoid property tax reassessment being challenged and even partially unraveled, it has  become more important than ever to consult or work with Prop 58 and property tax relief experts that are knowledgeable in all trust loan, Proposition 58 and Proposition 13 matters… who maintain a grasp of property tax law changes, and how those shifts impact beneficiaries and property owners in the state of California.    

Home ownership for middle class Americans has mushroomed and developed at a breakneck pace, as the gold centerpiece that represents The American Dream…. Yet it is property tax breaks, and property tax relief for the middle class in the state of California – that has kept that dream alive.

PART THREE: Trusts, Intra-Family Loans & Property Tax Benefits in California

California Property Tax Benefits

California Property Tax Benefits

If you’re looking for a simple probate estate or trust fund cash advance assignment, we suggest looking at the Inheritance Funding company or the Heir Cash Now firm.  On the other hand, of you are looking for an  intra-family loan to an irrevocable trust to nail down long-term low property tax base rate as well as making an inherited sibling property buyout possible, we suggest taking a look at some trust lenders like Commercial Loan Corporation.

They all  have good reviews on Yelp and Google; and the Commercial Loan outfit surprisingly appears to be one of the only California lenders that specializes in assisting Estates, Trust Administrators and Beneficiaries with Proposition 58 equalization loans to achieve a parent to child property tax transfer, achieving a low Proposition 13 tax base, as well as assisting beneficiaries with buying out sibling co-beneficiaries. 

With a firm like this, you can hit the ground running, with 7-day funding, $400,000, $800,000, $1,500,000 – whatever funding you need… with super easy to qualify terms and low rates. Use Prop 58 to buyout sibling property shares along with locking in a low Prop 13 property tax base – this particular firm and their unique trust loan process.  

Like many people  who go down the traditional bank or credit union route to get a loan,  you’re probably tired of all those declines and instead decide to go for a loan to a trust, where your credit is not the be-all-end-all of the matter, nor is your income and financial history.

As long as you’re inheriting real property in the state of California, and you qualify for California Proposition 58 property tax benefits, you should be able to take advantage of the parent to child transfer property tax benefits and completely avoiding property tax reassessment!  You should be able to transfer parents property taxes, when you’re inheriting property taxes connected to the property you’re inheriting from your parents.

It would be wise to do some reading on the subject at an official govt. site, such as https://assessor.saccounty.net/ExemptionExclusion/Pages/ExclusionsMoreInfo.aspx  or at the Website of the premier trust loan firm we mentioned here – that has actually become one of the most popular companies of its’ kind in California, the Commercial Loan Corporation, whose President, Mr. Kerry Smith just about wrote the book on how Proposition 58 and loans to trusts help secure a parents low property tax base on an inherited home.
 
This is precisely how both young and older property owners, residential and commercial property owners… and beneficiaries of all types, get adequately familiar with process issues such as the ability to transfer parents property taxes, when inheriting parents property and inheriting property taxes imposed on those properties; plus the right to keep parents property tax base on an inherited home, under the right circumstances involving property tax transfers of all types, in the light of parent to child transfer or, as your attorney  might refer to it “parent to child exclusion”.

This sort of non traditional financing is still viewed as extraordinary, being that California is still the only state in the union that provides consistent, authentic property tax relief like this.  It’s become fairly obvious that every state in America should have similar property tax relief measures in place for residential and commercial property owners… Especially (and we have stated this previously) as unemployment is impacting tens of millions of Americans, as a direct result of the country still struggling in the midst of an extremely serious Pandemic.

Even though there are “trust fund cash advance” or “probate cash advance” assignments to consider as a financing source, from a standard  inheritance funding company — if one is dealing with buyout issues and looking to lock in a low base forever, in conjunction with the CA  Proposition 58 property tax break, beneficiaries are getting more “bang for the buck” if they use Prop 58 to buyout sibling, or co-beneficiary, property shares; using a trust loan from a niche trust lender, while insuring a low Proposition 13 property tax base.

At the risk of being “non-objective” we advise you to call a firm with a  fast turnaround, low rates, and easy terms…You might start by calling a firm that actually provides all those benefits, such as Commercial Loan Corp, at (877) 464-1066.