A life estate is a legal arrangement between two parties that allows one party to use the property of the other while they are alive. It’s similar to a trust, except that the beneficiary doesn’t necessarily have any control over the money or property during their lifetime. A person may want to set up a life estate for asset protection or to ensure loved ones inherit an asset after their death.
What is a life estate?
A life estate is a legal agreement that gives you the right to use someone else’s property during your lifetime. You can sell, lease or transfer the property at any time during your lifetime. A life estate can be set up for any type of property including real estate, vehicles and business interests. This is a great way to protect assets from lawsuits or creditors by giving someone else control over them until after death when they will pass on to beneficiaries designated in an irrevocable trust.*
Why would you want to set up a life estate?
Life estates are useful for asset protection in several ways. For example, they can protect your assets from creditors. If you set up a life estate, your beneficiary won’t be able to access the property until you pass away. This means that anyone who wants to sue them will have no way of getting their hands on the money and property until it’s too late for them to do anything about it–by which point, they may have …Life Estate Set Up For Asset Protection Read More