When taking out a 3rd party trust loan to prevent reassessment and to protect a low proposition 13 tax base, you will want to make sure that the trust loan is beneficial. If you are planning to keep the subject property for a short period of time, you may want to determine the amount of time it will take to recover the financing expenses of this loan. If you are not keeping the property for longer than the time it takes to recover the costs of financing, it may not make sense to get a 3rd party loan to keep the Proposition 13 tax rate. That is why we have developed this trust loan benefit calculator. This calculator will help you determine how long it will take for the projected property tax savings to cover the costs of financing. If you are not sure what information to enter, please call us at 877-464-1066 so that we may assist you.
Trust Loan Benefit Calculator
For assistance with the Trust & Estate Loan Benefit Calculator, please watch the following video:
This calculator is for estimation purposes only. The trust loan benefit calculator should be used as a tool to determine if it makes sense to move forward. Exact property tax savings should be discussed with your attorney. Another factor to consider is the interest paid on the outstanding loan balance. Most of our borrowers payoff or pay down our loan immediately keeping the interest costs to a minimum. Borrowers paying off our loan with a refinance may pay interest on a larger balance which could affect the break-even point calculation. If you are interested in taking advantage of the California Proposition 19 Exclusion from property tax reassessment on an inherited home, please call us at 877-464-1066. We are always available to answer any questions you have and to help you begin the financing process. You may also request additional information with the following form: