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What is a Property Trust?

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What is a Property Trust?

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A Property Trust is where the joint ownership (joint tenancy) is severed to (usually) equal shares as Tenants in Common to preserve assets from such situations as the survivor remarrying, providing for children or other beneficiaries from a previous marriage or to limit residential care costs.

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A Property Trust is a vehicle used to pool investor’s money so that they share in the returns that result from property investment (rental income less expenses). When investors buy units in a property trust, they are entitled to a distribution which is in proportion to their investment in the trust.

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