Spending a weekend at the cabin is a common activity for some Minnesotans and even people who don’t live in the state. The State of 10,000 lakes has many outdoor opportunities, which makes purchasing a cabin on a lake the ideal way to establish a family tradition. As a result, the “cabin trust” has become a common type of trust placed in many estate plans. It isn’t necessarily the monetary value of the cabin that individuals want to protect, but the emotional value. Families have many memories at family cabins, so they want to make sure the cabin stays in the family in the event the owner passes away.
Establishing A Cabin Succession Plan
It is common for older generations to be concerned about joint ownership of a cabin due to the potential of beneficiaries having disagreements. Arguments can come about regarding maintenance costs and responsibilities. This can damage relationships and result in the cabin falling into disrepair. A disagreement can also lead to the beneficiaries selling the cabin and splitting the money. The problem here is that not everyone may want to sell, but may also not be able to buy out the other parties.
Instead of passing ownership on to one person or a group of people, a trust can hold the cabin title and fund the cost of ownership and maintenance. A trustee is named to make decisions, but their decisions are limited to the terms outlined in the trust. When the terms are set, disagreements may not happen. The cabin trust also allows the beneficiaries to continue using and maintaining the cabin without any cost to them.
Guidance You Can Trust
If you are considering a cabin trust to protect the property and preserve it for future generations, Gross Law Office can help you. Mr. Gross understands the importance of the family cabin and passing the property through the generations. He will give you the advice you need to make informed decisions about the creation of the trust and the different methods that can be used in its inception. Mr. Gross will review the pros and cons of each method so you can make the best decision for your property and beneficiaries.
Minneapolis & St. Paul Trusts Attorney
If you have a cabin that you want to pass to your beneficiaries, a cabin trust is a great tool for protecting the property and preserving relationships between beneficiaries. If you need to establish a cabin trust, call Gross Law Office at 612-245-4749 today.