Insider Strategies for Utilizing Land Trusts, Personal Property Trusts and IRA Checkbook Trusts
Crowne Plaza Hotel, Cherry Hill, NJ
Saturday May 2, 2015 9 AM to 5PM
What’s included . . .
~ Atty. Mark Warda’s 235-page Land Trust book and CD
with 35+ forms. Laws for all 50 states.
~ The Personal Property Trust. A key strategy for Notes, Mobiles, Vehicles, LLCs, uses for safety and privacy.
~ Sample Deeds, Trusts, Assignments etc. for class work.
~ IRA Checkbook Trust. IRA funds in your local bank for ease and speed of investing and reinvesting.
~ A New Operating System for real estate and notes: buying, partnering, financing, managing, selling,
estate planning and ten+ layers of asset protection.
~ New tools only available with Trusts. Contract For
Beneficial Interest, Contract for option, and more.
~ Limit Liability, Reduce Litigation, Quick Foreclosure, Private Sale Price, Easy Transfer, etc.
by Jack Shea, Author, Real Estate/Note Investor- 25+ yrs
The best investment you will make in your future.
Early Bird Discount Space and books are limited
Special Room Rate: $119. Expires April 1, 2015
The use of trusts in my investment business has allowed me to prosper in the ownership of real estate, notes, options, leases and other instruments. They have provided the privacy and safety and peace of mind to operate without fear of frivolous lawsuits, unhappy tenants, bureaucrats, salesman and other distractions.
I have seen thousands of investors, over 25+ years, developed the ability to form and operate their own trusts and enjoy the same benefits. The land trust has been in use since the 1890s and can be used in every state. The trust delivers more than 25 benefits, including avoiding probate, judgments cannot attach to the property, private sales price, and many more. We use it as a management tool, for partnering, for lending under the UCC, buying and selling in private and in other ways not possible without a trust. Deeds, trusts and other forms are in Word documents and easy to complete.
The personal property trust is a more recent development and when combined with the land trust a greater level of privacy, safety, and flexibility is attained. It can be used as trustee, a manager of an LLC and in other roles. It is the best device holding notes, vehicles, mobile homes and other items in privacy and safety.
The IRA Checkbook Control Trust is a hybrid of the above two trusts. Retirement funds can be moved from brokerage accounts to an independent IRA custodian and then invested in the IRA trust, which places the funds in your corner bank where you have access without the cost or delay of going through a custodian. In addition, all rent, note payments and other income is deposited in your bank, not with the custodian. These funds can be reinvested rapidly.
Investors have many common traits that make them successful. There have been thousands of studies of the common characteristics of successful investors. They are similar whether in the stock market, business development or real estate. There is also a record of uniform behavior problems that most investors have and are rarely confronted.
One recent study trying to simplify the characteristics came up with these conclusions. Achievers were most likely to be:
1) Very confident in their ability to succeed.
2) They were driven by an inferiority feeling and a fear of failure.
3) They were uniformly sensitive to other people’s feelings and were self-aware.
A list of other traits include: passionate, resilient, decisive, fearless, financially capable and knowledgeable.
The main bad characteristic of investors was overconfidence. That shows up routinely in stock market trading, fund management and every financial transaction. Real estate investors are more confident about their prospects than results show. The more the overconfidence, the worse the results. A 90% plus confidence level leads to a 40% error rate. Since real estate investors are often sole entrepreneurs, it takes confidence to get into the field. Overconfidence often takes people out of the field. Look around you with your friends and associates and yourself. I know it is true in my investment experience.
How do we enjoy the advantages of being a real estate investor and protecting our portfolio and our future? There are many things an investor can do such as “Making it big on little deals”. That is John Schaub’s mantra, book and the center of his teaching for many years. A bad deal will be painful but not fatal. A bad big deal could be the end.
There are other systems and procedures that could be implemented.
TRUSTS. These protect real estate and note investments. They also protect leases, options, contracts and all of our other activities. They deliver privacy and safety and firewalls to protect one bad investment from all the others. They are especially useful for the more speculative and risky ventures that could provide great rewards, if done properly.
OPTIONS. The greatest leverage and lowest risk can be obtained with options. They are invisible, portable, saleable, and exchangeable. They can hold great wealth but cannot be attached since they are a future interest. When markets rise option holders profit. When markets decline option holders do not lose. Option grantors will lower the option price to current market over 90% of the time. Therefore, there is little downside to options.
IRA ACCOUNTS. The creation of IRA accounts has created a grand opportunity for real estate investors to take advantage of opportunities that they see in the marketplace that are not available to anyone else. They can be legally optioned, purchased, leased, put under contract with IRA funds and the proceeds from the rent, sale, or assignment go directly to the IRA account. IRA funds can be held in a checkbook account controlled by the investor that is immediately available for real estate investments.
Take advantage of your positive traits and limit the damage of our negative ones.
To your success,
Jack Shea Author, Mentor
Central Florida Realty Investors Association Presents…
Master Trust Class – Land Trusts, Personal Property Trust, & IRA Trust
Presented by Attorney Mark Warda, author of Land Trusts in Florida and Jack Shea, Author, Real Estate Mentor and Investor
All you need to know about the new Trust Laws and how to use it!
Attorneys: Approved for 8 hours of CLE Credit by the Florida Bar
CPAs: Approved for 8 Technical Business Hours CPE credit for Florida CPAs
Realtors: Approved for 8 hours of Continuing Education Credit
Learn from the #1 Experts on Florida Trusts! Saturday April 5, 2014
4 Easy Ways to Register for The Florida Land Trust Seminar: Phone, Fax, Mail or Online
Phone: 407-328-7773, Fax: 407-328-4446, Online: www.cfri.net
$125. Members $175 non-Members
Land Trusts in Florida book and forms CD $40
Venue: Herzing University 1465 Fla 436
Winter Park, FL 32772
Limited Seating – Make your reservation now! Registration form here!
Learn About the Uses and Benefits of Florida Land Trusts
Lending w/ Trusts
Folks, just a few days ago our webinar had an amazing impact on showing folks the power of implementing land trusts in their life and business.
We noticed that you missed the LAND TRUST REVEALED webinar…. But the feedback that we had from the hundreds of people on this Webinar was OFF the CHARTS… So we have GOOD NEWS:
We have posted a full video replay up until 10pm THURSDAY 1.16.14 at this link:
DON’T MISS THIS! PLEASE note this replay will expire and you will not be able to see it and we are not planning on doing this again.
YOU CAN WATCH IT ON YOUR SMART PHONE TOO!
ALSO NOTE.. This video it has been optimized so you can even watch this on your cell phone! We’ve done everything we can to make the replay as easy as possible for you.
If you missed this replay you’ll miss incredible information including.. •The Incredible Risks You’re Taking Not Using Land Trusts •Dramatic Advantages Of Trusts Over Llcs And Corporations •Jack Shea’s Strategic Form For Land Trusts And Real Estate •How To Buy Property And Stay Completely Under The Radar
Don’t Be Low Hanging Fruit, Don’t Be The Person Predators Know To Go After, Don’t Be The Person That Calls Us When It’s Too Late And All Your Assets Are At Risk It’s Just Too Easy To Avoid!
Again….REMEMBER TO WATCH THIS WEBINAR… “LAND TRUST REVEALED“.. Why Land Trusts Are The Ultimate Privacy Device
Again…The good news is we have the replay up until 10pm THURSDAY 1.16.14 at this link:
To Your Success,
The Dodd-Frank bill affects any private lending taking place after January 1, 2014. The initial rules for seller financing have been modified.
If the buyer uses the property as their personal residence and the seller only does one seller finance per year then the rules are:
1) There must be a fixed interest rate for five years. After that, the interest rate can increase up to two points per year for a maximum of six percentage points.
2) There can be a balloon payment in the note.
3) The seller is not required to verify the buyer’s ability to pay.
The selling entity can be an individual, an estate or trust. It cannot be a partnership, LLC, Corporation or other legal entities. Notice, that is one entity per trust, per year.
If the same person trust or estate does more than one seller financing per year then:
1) The same interest rate rules apply.
2) A balloon payment is not allowed.
3) the seller must verify the borrowers ability to pay.
I’ve been following the development of the Dodd Frank rules for years and have used those guidelines. We also give a full Truth-in-Lending disclosure. We also deliver many other documents, over 20 items, including a title report, termite report, property defect disclosure report, and buyers inspection reports. Since we do financing through land trust procedures, we have an explanation of the rules and procedures with trust beneficial interests. The buyers become the 100% owner of the beneficial interest and assign it back to the lender as security for the loan. All UCC-1 documents procedures are followed. This makes a foreclosure faster and less expensive if it is ever required.
There are many potential buyers for seller financed property who are unable to qualify for a bank loan due to foreclosure, bankruptcy or other financial problems. They typically pay above market price for the house, above market interest rates, and are required to put 10% to 20% cash down payments. Monthly payment including taxes and insurance is structured to be close to market rent. They are happy buyers and have an excellent payment history on their new home.
The Dodd Frank bill should have very little negative effect on seller financing. As you can see, the rule for one transaction per trust will not affect any investor that uses land trusts for holding title to investment real estate. It is the best method of owning real estate. You can learn everything about land trusts, personal property trusts and other tools such as options, IRAs and 1031 exchanges at the ‘TRUST Creation and Application Seminar’ in Jackson Mississippi January 23-25, 2014. More information is on my website at www.JackShearealestate.com
To your success,
There are hundreds and sometimes thousands of real estate investors in every community. I have been to many real estate investment clubs around the country. The meetings are attended by many seasoned investors and newcomers. In our 1031 exchange business we deal with investors all across the country. I sometimes ask the clients if they attend any local real estate meetings. Some do. Many don’t.
I asked the questions because I see many investors that have made a poor choice of title holding entities. If they had more real estate education they would have made better choices. They invest with friends in a partnership. Later they find out it is very difficult, costly and sometimes not possible to do a tax-free exchange out of their investments.
If you total all of the investors that attend meetings some of the time in your area, then there are 3 to 4 times as many in your marketplace. If you do not have any better tools to use in your investments, then you are in an auction to the highest bidder with all the amateurs. Options can separate you from the crowd. Tax-free exchanges are a tool to use for your benefit and possibly for the other party in your purchase or sale.
Trusts offer several unique strategies that are not otherwise available:
1) Contract for Beneficial Interest. This is similar to a contract for deed but avoids foreclosure. It is selling personal property on an installment sale. The buyer has no rights until it is fully paid.
2) Lease Of a Beneficial Interest. This is not a lease of real estate but of personal property. It could have multiple benefits.
3) Multiple Investor Beneficiaries. A technique for partnering without the formalities of deeded interests. No witnesses or notaries are required for transfers. The beneficiaries are free to take cash or do a 1031 exchange with their proceeds.
4) Seller Financing the Beneficial Interest. It is selling personal property and avoids the need to foreclose to regain possession upon default.
5) Personal Property Trust. It can be used as a trustee, LLC manager, a holder of notes, mobile homes, cars, guns, stocks, receivables and more.
6) IRA Checkbook Control Trust. Moves your IRA funds from the custodian to your corner bank where you have the ability to make investments without the cost or delay of going through the custodian. All income from these investments goes to your corner bank, not the custodian. There is no cost or delay to reinvest these funds.
These are a few of the Power Tools that investors should have to elevate their investment system to a higher-level with better returns and more safety. All of these strategies and more will be covered in detail at the trust seminar January 23-25 in Jackson Mississippi.
To your success,
What’s included . . .
1) You will be provided the 235 page land trust book and CD with 35+ forms to operate trusts and to form trusts.
2) The laws for all 50 states for mandatory trust compliance no matter what state is being used. A defective trust makes the trustee liable and the beneficiary liable and is worse than holding title in your own name.
3) The Personal Property Trust. This is a key strategy for land trusts, LLCs and other uses and methods that we employ with only those we trust.
4) 10 real examples how the use of Land Trusts sidestep legal conflicts.
5) Sample deeds, Trusts, Assignments etc. for class work filing out the forms. This is a key step in giving people the confidence to do it on their own.
6) A New Operating System for real estate. A global look at the benefits for real estate investors using trusts. Buying, partnering, financing, managing, selling and negotiating in trusts.
7) How to get real estate off your tax return
8) Advanced Asset Protection. 10+ layers and more.
9) Comination Trust, 1031 and option strategies.Dinner Friday and Saturday at the Love Shack provided. 214 Bay Park Drive, Brandon, MS 39047 Airport: (JAN) Jackson Evers International Airport. Hotel: Holiday Inn Express, 112 Ridge Way, Flowood, MS 39232 601-922-7773. $99 per night with “Pro Trust Conference” group. Meeting Location: Table 100 Conference Center, 100 Ridge Way, Flowood, MS 39232 (601) 420-4202 (Next to Holiday Inn) Plus Technology Bonus Day: Systems, Outsourcing and Virtual Assistants with Steve Zehala
May 2nd,2015. Crowne Plaza Hotel, Philadelphia, Cherry Hill.
TRUSTS – TOP 10 BENEFITS
I see investors debating the use of Trusts versus LLC’s, Corporations, Partnerships and other entities to hold title to property. Hands down the trust is the best enity. It’s a tool that is well understood by savy investors and principled investment advisers, but little know among opportunitstic attorneys and others likely to threaten investors profits.
The benefits of the trust are numerous that I wanted provide a list of the Top 10 reasons a trust beats other entities. Each day I’ll post (send) a new reason. Feel free to check in at JSRE.com to see the entire list and please post questions/comments.
*REASON NUBER 10*
JUDGMENTS DON’T ATTACH
Judgments against beneficiaries or partners coming from auto accidents and other lawsuits will not attach to trust properties. Judgments against you will not be costly to your other partners.
*REASON NUMBER 9*
REDUCE LITIGATION COSTS
Contingency fee attorneys avoid trust lawsuits. Incidents such as dog bites, fall down the steps injuries, and other minor and sometimes dubious claims are often declined by the law firms. The data comes from a long and broad history.
*REASON NUMBER 8*
Title passes to the successor beneficiary, upon death. This can be a major benefit to a family in the midst of other problems. Beneficiaries can be changed at any time without the difficulties of changing a will.
*REASON NUMBER 7*
PARTNER IN PRIVATE
Partners can hold and trade Beneficial Interests without recording anything in the courthouse. Share percentages can be changed among the partners with a simple assignment of beneficial
interest and notice to the trustee.
*REASON NUMBER 6*
PURCHASEOR SALE PRICE IS NOT DISCLOSED
No public record exists for the sale price or the purchase price. The beneficial interest can be purchased in private. In Florida, the transfer tax must be paid to the state, but only references the trust, not the address.
*REASON NUMBER 5*
NEW INVESTMENT TOOLS ARE AVAILBLE
A contract or lease of the beneficial interest
and other personal property techniques are available. The trust changes ownership
from real estate to personal property. These additional methods offer great benefits for leasing, financing, creating condos, selling fractions, exchanging, and more.
*REASON NUMBER 4*
FINANCING CAN BE DONE UNDER THE UCC
Foreclosure is easier with a Collateral Assignment of Beneficial Interest. This is the security for the debt. When unpaid you already have the beneficial interest. You notify the trustee. This is the process used for personal property like mobile homes, trucks, aircraft, etc. nationwide.
*REASON NUMBER 3*
IRA CHECKBOOK CONTROL TRUST IS POSSIBLE
Your IRA funds can be in your corner bank and immediately available. All rents, note payments, etc. are deposited there and can be reinvested quickly without the cost or delay of going through the custodian. Compared to an LLC, the Trust has no formation fees, annual fees, annual reports, or a registered agent.
*REASON NUMBER 2*
PERSONAL PROPERTY TRUST CAN BE USED
This trust is for holding notes, mobile homes, securities, as a manager of an LLC, and other uses. It is not well understood in the marketplace and adds another level of privacy and safety.
*REASON NUMBER 1*
PRIVACY OF OWNERSHIP
Many benefits to investors stem from the fact that the identity of the beneficiary is not on public records and can be difficult to find. Tenants, bureaucrats, creditors, tradesmen, salesman and others are blocked. The trust is a firewall and a spam filter. It stops all unnecessary communication with the owner.
If you want to know more about protecting your investments and making your life safer and easier buying and selling real estate I’ll be giving a seminar with attorney and expert Mark Warda on December 13th, 2014.