Inherited a home through a trust? True Estate Loans helps trust beneficiaries finance inherited property, so you can keep the home, buy out co-beneficiaries, or access equity without a rushed sale.
Inheriting real estate from a loved one is rarely simple. The property may still be titled in the trust, other beneficiaries may want their share in cash, and there may be an existing mortgage, property taxes, or repairs to deal with, all while you're grieving. Most banks aren't set up to lend on trust-owned property. We are. Trust, estate, and probate lending is all we do.
Keep the family home. If you want to live in or hold onto the property you inherited, we can help you refinance it into your name or finance it while it remains in the trust.
Buy out siblings or other beneficiaries. When a trust leaves one property to several heirs, a beneficiary buyout loan lets one heir keep the home and pay the others their fair share of the equity.
Access cash from inherited property. A cash-out refinance on trust property can fund equal distributions to all beneficiaries, cover estate expenses, or pay off debts of the deceased, without selling.
Pay off or replace an existing mortgage. If the home still carries the decedent's loan, we can help you refinance it on terms that fit your situation.
Fix up the property before selling or renting. Many inherited homes need updates. Financing can cover repairs that increase value before a sale or turn the property into a rental.
Cover property taxes, insurance, and holding costs. Keep the property protected and current while the trust is settled.
Tell us about the property, the trust, and your goals. We'll explain your options in plain language.
We review the trust document, the trustee's authority, and how the property is titled.
Depending on your situation, the loan may be made to the trust (signed by the trustee) or to you after the property is distributed into your name.
We coordinate with the trustee, the other beneficiaries, and your estate attorney or CPA so everyone stays informed.
Proceeds go where they need to: paying off co-beneficiaries, the existing loan, estate costs, or repairs.
Yes. A beneficiary can finance trust property either through a loan made to the trust, signed by the trustee, or through a loan in the beneficiary's own name after the property is distributed to them. The right approach depends on the trust terms and the beneficiary's goals.
A beneficiary buyout loan, sometimes called a sibling buyout or heir buyout mortgage, lets one beneficiary borrow against the property's equity to pay the other beneficiaries their share. The home stays in the family and each heir receives their portion in cash.
No. Instead of selling, a cash-out refinance or buyout loan can provide the funds to pay other beneficiaries, allowing one heir to keep the property.
The existing mortgage stays attached to the property. Federal law (the Garn-St Germain Act) generally prevents lenders from calling a residential loan due solely because it passes to a relative after the borrower's death. Beneficiaries can often keep the existing loan, assume it, or refinance it.
When the loan is made to the trust, the trustee or successor trustee signs on the trust's behalf, as authorized by the trust document. If the property has been distributed to the beneficiary, the beneficiary signs as the borrower.
Possibly. Some trust and estate loan programs consider the property's equity, assets, or bank statements rather than relying only on traditional income documentation. Speak with a loan specialist to review your options.
Timelines vary based on the trust, title, and appraisal, but many trust loans close in [X - X] weeks once the trustee's authority and title are confirmed.
Every inheritance is different. Whether you want to keep the family home, settle up fairly with your siblings, or unlock equity, we'll help you find a path forward.
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True Estate Loans does not provide legal or tax advice. Please consult your estate attorney or tax advisor regarding your specific situation. NMLS #1881370. Equal Housing Lender/Opportunity.
