Home inherited via trust may have sale restrictions
A: There are many different trusts, but for this answer, I am assuming it is a revocable living trust. This is a document that people use primarily to avoid subjecting their heirs to the probate process after their death.
Your loved one created such a revocable trust, and has now died. Typically, the creator of the trust is the initial trustee. Upon his or her death, the trust document should spell out who will be the successor trustee. That new trustee must follow the instructions spelled out in the trust document. (By the way, if you don’t already have a copy, make sure you get and read the trust document.)
The successor trustee no doubt has been instructed to convey the property to you. He or she should prepare a deed, sign it as successor trustee and record the deed in your name.
Once that is done, you own the property. But read the trust document carefully. Does it contain any restrictions, any conditions on your ownership? Do you have to keep the property for any length of time? Are there tenants in the property that the trustee wanted you to keep in the house? And do you have to keep the house until you reach a specific age?
If you want to sell, the buyer’s attorney — as well as the title (escrow) company — will want to review the original trust document to make sure you have the authority, at this point in time, to sell.
I recommend you consult a local attorney to guide you through the selling process.
A: At some point, if the board does in fact haul you into court, you will need legal counsel. So why not retain a local lawyer now to try to resolve the matter short of court?
Do you have proof of all assessment payments? If not, the burden will be on you — at least initially — to prove you made all of the payments on a timely basis. If you don’t have canceled checks proving your payments, get your bank to make copies of your checks; that can take some time.
You may be able to resolve this by producing a copy of your monthly bank statement, but that’s not the same as having actual photocopies of canceled checks.