Why Does EPIC Encourage Trusts?
EPIC strongly encourages elder law attorneys to recommend trusts to their clients for owning income-producing property. EPIC is willing to work with investors who cannot or do not want to use a trust; however, without a trust, the sales proceeds after the investor’s death would be subject to probate and potential claims of estate creditors. Therefore a trust provides better asset preservation for the elder law attorney’s client. EPIC prefers using simple Florida land trusts. Land trusts are created pursuant to Florida Statute Section 689.071, and provide for straight forward ownership of real estate. Land trusts are grantor-trusts that do not require the recording of the trust or a memorandum of trust in the public records, thereby affording more privacy than a revocable living trust. Upon the investor’s death, EPIC simply purchases the property from the land trust’s successor trustee, for an amount agreed to in advance.
