Loans to Trusts & Estates

We are a direct lender specializing in providing loans to trusts, estates and clients inheriting a home from a parent. Our loan provides the cash needed to allow each beneficiary, heir or sibling to receive an equal portion of the assets of a trust or inheritance. This allows one person to retain real estate while others receive cash or cash and other assets.

Often times it is our clients goal to retain a parents low California Proposition 13 Property Tax Base on an inherited home. Our loan provides the funds necessary to accomplish this. On average we save our clients over $6,400 a year in property taxes. Most lenders are unwilling to lend to a trust or do not have the knowledge or experience to provide loans to irrevocable trusts. We specialize in trust and estate finance and our loans are California Proposition 58 and Proposition 19 compliant. Let us help walk you through the process. We have partnered with a California Property Tax Consultant that has over 20 years of experience working in a California Tax Assessors Office. We can help simplify what is typically a complex process.

We are a direct lender and can close your loan in as little as 7 days. With our trust and estate loans, you can expect:

• An easy application process
• Flexible underwriting guidelines (No credit score minimums)
• Loans closed in as little as 7 calendar days
• No prepayment penalties
• No hidden fees

For more information on our trust and estate loan programs or to determine how much you might be able to save in property taxes, please call us at 877-464-1066 or complete this quick information request form:

 

If you are interested in more information on our trust and estate loan programs, please call us at 877-464-1066 or complete this quick information request form:

 

 

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Please watch the following video for a brief explanation on proposition 58  and  the ability to Transfer Property From A Parent to Child in order to Avoid Property Tax Reassessment On An Inherited Home:

Please call us at 877-464-1066 to see if you qualify.

Additional Information On Trust Loans and Estate Loans

Proposition 58, effective November 6, 1986, is a constitutional amendment approved by the voters of California which excludes from reassessment transfers of real property between parents and children. Proposition 58 is codified by section 63.1 of the Revenue and Taxation Code.

Proposition 19 is the Home Protection for Seniors, Severely Disabled, Families, and Victims of Wildfire or Natural Disasters Act. Proposition 19 was approved by California voters on November 3, 2020. California Proposition 19 takes effect on February 16, 2021. Proposition 19 modified California Proposition 58 by requiring that the child or children use the residence as their principal residence in order to avoid property tax reassessment. Additionally Prop 19 put a cap of $1,000,000 (adjusted up to $1,022,600 in February of 2023) on the amount of property value that can be excluded from reassessment.

If you are the trustee of a trust that is looking for a 3rd party loan to help facilitate the non pro rata distribution of that trust, you were probably referred to us by your estate planning / probate attorney. If that is not the case and you are looking for a good attorney referral, please call us. We can help you find an attorney in your area. We believe that you should be working with an attorney if you are trying to take advantage of Proposition 58 and are in a situation where a 3rd party loan is required for the non pro rata distribution of the trust.

Your attorney will make sure that all the paperwork is prepared correctly and the details of the process are followed. There is another consideration that we feel is important to address. This 3rd party loan is not inexpensive. The costs associated with this type of loan need to make sense when compared to the tax savings. We are very flexible about accepting prepayments without charging a penalty. We also lower payments to cover just the interest on the remaining balance after prepayments are made. However, if the sole purpose of the loan is to take advantage of the property tax break, please use the Cost / Benefit Calculator to understand the numbers and how long it will take the tax savings to pay for the loan costs.

( Click Here For the CLC Cost / Benefit Calculator or call us at 877-464-1066 so that we may assist you)

This calculator is for the loan fees only and does not take into account the interest charged on the loan. In most cases our borrowers pay back most of the loan immediately because they do not want to pay interest if they can help it.

Please call us at  (877) 464-1066 or complete this information request form for more information on our Loans to Trusts.

Click here for additional information on California Proposition 58 and avoiding property tax reassessment on an inherited home.