With all the recent financial upheaval in the real estate markets, you may have been thinking about the possibility of refinancing some of your loans. However, be aware of the obstacles you may encounter if you wish to refinance any loans that are secured by mortgages that are held on real property, but have already been conveyed into a trust.
Many lending institutions may not approve refinancing on real property held within a trust, so you may have to transfer the property out of the trust, temporarily, in order to secure the refinancing. In this case, you would have to have the trustees transfer the property back into your name for the purpose of refinancing and then transfer the property back into the trust again. A Grant Deed can be used to accomplish this.
It is imperative that you use a professionalTrust Attorney during this process as any incorrectly written deeds and other documents can delay the process for long periods of time and create additional fees.
*This blog entry was not written by an Attorney and should not be constituted as professional legal advice.