Tenants in Common v Trust

Wallaceh

Is it possible to for trustees to hold the beneficial interest of their property in trust according to the terms of a will or must it be held as tenants in common? Originally the advice was that we had a choice but now we are told that it must be tenants in common. This is causing confusion and delaying completing the property transfer from the executors to the trustees.

getmore4less

Is all the property in the trust or just part of it?

Wallaceh

The whole property is in trust.

TBagpuss

Any property held in more than one name is held on trust.
'Tenants in common' is shorthand .
In most cases, the trustees and beneficiaries are the same people but it is possible for the trustees to hold on behalf of others, in which case you would normally have a separate trust deed.

In your case, are the beneficiaries the same of as the trustees?

getmore4less

what does the will say?

are any beneficiaries/remainermen minors

Wallaceh

Some, but not all.

getmore4less

Ok that may be a reason there could be others

If the trust has beneficiaries under 18 there needs to be two trustees.

If the trustees are legal joint tenants that leaves one trustee as the legal owner if the others die.

if they are tenants in common it puts a restriction on any sale that needs two people.

Why do you want the trustees to be legal joint tenants?

Wallaceh

The will appoints four trustees to hold the property. These were the same as the beneficiaries, but this is no longer the case, because one retired and another family member appointed in their place. One of the beneficiaries has a right of occupation, and when this ceases, the property is to be sold and the proceeds less costs distributed to the beneficiaries or their heirs in equal shares.

Wallaceh

Sorry none of the beneficiaries are minors.

getmore4less

So you have an interest in possession trust

Don't think the legal ownership by the trustees makes any difference.

Wallaceh

Thanks. I don't want to hold the property on the terms of the trust in the will.