Trust Ownership of Property - Confused

[No Regrets]

I am a bit confused here. I have a family trust and am about to purchase a property in its name.

I was under the impression that I could not buy in the name of the trust, but had to do it through the trustees, which in my case is a company.

The S&P agreement is in the name of 'trustee company limited' and the bank is now saying that I can do this in the name of the trust.

Can anyone clarify this for me?

Thanks heaps
Rob

[No Regrets]

To answer my own question (just spoke to lawyer):

You can purchase in the name of the trust, and borrow in the name of the trust, but the title of the property has to be in the name of the trustees.

Clear as mud

[Ivanhoe]

Going thru similar stuff right now...
My comments (hope they will clarify the issue):
Banks said they can do lending in trustee's name - fine by me as long as it's clear that it's trustee acting for the trust. BUT bank did not like the idea having loan in trust's name - go figure why? I asked them to use wording along these lines: "ABC Trustee LTD as a trustee for ABC Trust" if they want to do it in corporate trustee's name. You can take out loan trust's name if bank is happy, but if you don't have "and/or nominee" after "trustee" in your S&P agreement it could be a problem.
hope it helps
yes title will be in trustee's name but bank has nothing to do with it...

[JohnL]

I found the banks get confused as what to do as well!!!!

They need to improve their internal training.


John

[Ivanhoe]

Fair enough, John!
Signed guarantee letter today, found ourselves called "Trustee of ABC Trustee LTD" WTF????!!!!!
Had a good lough with solicitor though...