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Living Trust

H

Hawaiibarb

TUG Member
Joined
Jun 8, 2005
Messages
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Location
Honolulu, Hawaii
I am setting up a Living Trust. Does anyone know how timeshare points are handled? Real estate? Personal property? I want to be sure I have it identified properly.

Many thanks!
 
If you have an underlying deed the real property, if it's a membership personal property.

I would leave the deeded timeshare outside of the trust, so it's easier to walk away
 
Rent_Share said:
If you have an underlying deed the real property, if it's a membership personal property.

I would leave the deeded timeshare outside of the trust, so it's easier to walk away
Click to expand...

How do you figure it's easier to walk away from a deeded TS than any TS in a trust?
 
Ron2 said:
How do you figure it's easier to walk away from a deeded TS than any TS in a trust?
Click to expand...

The trust will have all your assets, the timeshare is a liability, your non trust estate dissolves insolvent, your trust distributes and dissolves.

As a trust asset you have to through - the refusal of the asset through the chain of beneficiaries, before the trustee can abandon it as worthless/

YMMV - Estate laws are different in all 50 states consult competent counsel
 
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Rent_Share said:
The trust will have all your assets, the timeshare is a liability, your non trust estate dissolves insolvent, your trust distributes and dissolves.

As a trust asset you have to through - the refusal of the asset through the chain of beneficiaries, before the trustee can abandon it as worthless/

YMMV - Estate laws are different in all 50 states consult competent counsel
Click to expand...

Is it possible to have a trust that only includes your timeshares?
 
Ron2 said:
Is it possible to have a trust that only includes your timeshares?
Click to expand...


Yes, most likely. Each state varies.

But I can't think of a good reason to do that. Why would you want to?


Sent from my iPhone using Tapatalk
 
Ron2 said:
How do you figure it's easier to walk away from a deeded TS than any TS in a trust?
Click to expand...


A trust lives on after a person dies. If a person is dead, there's no reasonable claim that the estate owes maintenance fees. Heirs are free to abandon the timeshare by refusing to accept ownership.

But if the TS is in a trust then the estate has a duty to actively maintain it or sell it, the option to abandon it does not exist.


Sent from my iPhone using Tapatalk
 
VegasBella said:
A trust lives on after a person dies. If a person is dead, there's no reasonable claim that the estate owes maintenance fees. Heirs are free to abandon the timeshare by refusing to accept ownership.

But if the TS is in a trust then the estate has a duty to actively maintain it or sell it, the option to abandon it does not exist.


Sent from my iPhone using Tapatalk
Click to expand...

Consider an estate with two trusts, one for all TS assets, and one for everything else. If the (TS-only) trust has no other assets with which to continue paying mf, what recourse is there for the HOA to hound the estate/heirs for maintenance fees?

This link claims individual gifts can be refused even if the vehicle is a trust, so perhaps the heirs want to keep certain TS but not others.

http://www.lancasterlawoffice.com/disclaimer

I'm not a legal expert, and laws probably vary by state, but it seems there are options to refuse transfer of TS to heirs whether it in a trust or not. It seems to hinge on whether the heirs have used the timeshare after the trustee passes.
 
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If you have a 'pour over will' that directs that everything else goes into the trust would the T/S deeds end up there anyways? Or can the trustee refuse to accept the T/S deeds?

PS - The other reason we didn't put our T/S deeds into our trust was the ridiculous fees that Wyndham charges to process a new deed.

Doug
 
dcdowden said:
If you have a 'pour over will' that directs that everything else goes into the trust would the T/S deeds end up there anyways? Or can the trustee refuse to accept the T/S deeds?

PS - The other reason we didn't put our T/S deeds into our trust was the ridiculous fees that Wyndham charges to process a new deed.

Doug
Click to expand...

How much did Wyndham ask for? Thx.
 
A trust will only have the assets you place in it..


Rent_Share said:
The trust will have all your assets, the timeshare is a liability, your non trust estate dissolves insolvent, your trust distributes and dissolves.

As a trust asset you have to through - the refusal of the asset through the chain of beneficiaries, before the trustee can abandon it as worthless/

YMMV - Estate laws are different in all 50 states consult competent counsel
Click to expand...
 
Can I use a Living Trust as a mechanism to create two separate member numbers (i.e., one under the Living Trust and one under my name)?
 
Your heirs can file documents with the court to refuse the inheritance of your timeshare(s). But if your timeshares are jointly owned by you and your spouse, you spouse already owns them, and your demise doesn't change that.
 
Let me point out: there is a very big logic error in the discussions above (we do have our TS's in our living trust)

If the timeshare is--or is forecast to be--totally worthless and/or a greater liability than asset, then by all means consider your actions carefully. But, if the timeshare is, and is forecast to be, an asset with value (and an element of liability for MF's etc...) then consider what will happen when your $35k+ Maui OF goes to probate or becomes the object of desire/contention for your heirs. Oh, and BTW, good luck in getting your executor/court appointed probate to swiftly deal with managing/renting your timeshares when the titled owners have permanently checked-out.

just my 2c. I'm not a lawyer and will never stay at a holiday inn express again--if I have any choice.
 
We keep all our timeshare outside of our trusts. Even though most of what we now own could be sold for a few thousand dollars each, it may not be worth the hassle of selling them. My son has no interest in our timeshare and I hope to be able to get my affairs in order, including getting rid of the timeshares, before I go. But many people are unable to plan for when they die.
 
I don't have much to worry about in terms of assets, the total value is small enough that it won't be taxed

As I see it trusts are to manage your assets from the grave or to avoid taxes I don't have a need for trusts

Timeshares are in my name only so when I go my heirs won't be bothered. The resorts will have to deal with them
 
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