Legal Question in Wills and Trusts in California

who pays the mortgage on a home that was in a trust before the trust gets read?


Asked on 11/07/09, 6:12 pm

2 Answers from Attorneys

Aaron Feldman Feldman Law Group

The trust ordinarily pays for on-going expenses of what we would call "trust administration" until the assets are distributed. It is possible for the trust to allocate those costs to one beneficiary or another, although it is not common. Even after the trust is "read", it may take time to wind up the affairs of the decedent (final expenses, taxes, claims) and also to get the paperwork done to transfer the asset.

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Answered on 11/12/09, 6:19 pm
Robert Mccoy Law Office Of Robert McCoy

The successor trustee is usually responsible for paying for the ongoing expenses of the estate until all the assets of the estate are liquidated. The successor trustee would, of course, have to take money out of the estate to make the mortgage payments. If the estate has no liquid assets, then the trustee cannot make the mortgage payments until and unless he liquidates some of the assets. There is a potential the trustee could be sued for mismanagement of the estate assets, so he should always use an attorney to assist him until the distribution is final.

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Answered on 11/13/09, 6:08 pm


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