You have found it. The home with the perfect kitchen, the right school district, and the backyard you’ve been dreaming of. The contract is signed, the inspection is scheduled, and you are already picking out paint colors.
But before you head to the closing table, there is one critical step most homebuyers overlook: setting up your Living Trust before you take title. While many people plan to “put the house in the trust” eventually, doing it during the purchase process saves money, protects your privacy, and ensures immediate asset protection.Save Money on Double DocumentationIf you buy your home in your individual name today and decide to move it into a trust later, you’ll pay for a second deed, second recording fees, and potentially an update to your title insurance. These costs can add up to hundreds or even thousands of dollars.By having your trust ready before closing, you can title the home correctly from day one. The deed is prepared once, recorded once, and your home is protected the moment the keys are in your hand. You will avoid duplicate costs and the hassle of coordinating a post-closing transfer.Avoid the Protection GapLife is unpredictable. If you were to pass away or become incapacitated shortly after buying a home in your individual name, that brand-new asset could be stuck in probate court. Your family would face court supervision, legal fees, and delays at a time when they need access to the property most.A trust ensures that if something happens to you, your successor trustee can step in immediately to manage the property, pay the mortgage, or sell the home if necessary—without ever stepping foot in a courtroom. There is no gap in protection, no waiting period, and no public court process.Working With Your LenderMany buyers worry that a trust will complicate their mortgage. In reality, most lenders are comfortable with Revocable Living Trusts and handle them routinely. If your trust is ready, your lender can review it during the underwriting process, which is far smoother than requesting permission to transfer title after the loan has already been funded.A Tulsa Area estate lawyer can prepare your trust documents in time for closing and coordinate with your lender to ensure a seamless transaction.Take Action Before ClosingIf you have a home under contract, now is the time to act. Review your current estate plan or create a trust that fits your new investment. Coordinate with your realtor and lender by letting them know your intention to take title in the name of your trust. Update your homeowner’s insurance policy to list your trust as an additional insured from the start.Buying a home is one of the biggest investments you will ever make. Protecting it from day one ensures your family never faces unnecessary legal complications.If you need assistance setting up a Living Trust before your home closing, we invite you to schedule a consultation with our office at (917) 771-3696 to discuss your personal situation.