How to Put a House in a Trust: Step-by-Step Guide

The primary benefit of placing a house in a revocable living trust is that it allows the property to transfer directly to your named beneficiaries at your death, bypassing the probate process. Probate is a court-supervised process for settling a deceased person's estate — it can be time-consuming, public, and expensive depending on your state's rules. A trust can also provide continuity of management if you become incapacitated, since a successor trustee you name can manage the property on your behalf. Some people also use trusts to provide for minor children or beneficiaries with special needs in a structured way. Understanding how long a house can stay in a trust after death helps you structure the trust timeline and successor trustee instructions appropriately.

For most homeowners, a revocable living trust is the appropriate vehicle for holding a primary residence — you retain full control of the property, can revoke or modify the trust at any time, and the home remains included in your taxable estate. An irrevocable trust, by contrast, transfers control of the asset permanently and may offer creditor protection and estate tax benefits, but you typically cannot get the asset back once transferred. The right type of trust depends on your estate planning goals, the size of your estate, your state's laws, and your need for ongoing control. An estate planning attorney can help you evaluate which structure best fits your situation. If you are uncertain whether you need a lawyer, our guide on whether you can put a house in a trust without a lawyer covers the risks of the DIY approach.

The trust document is the legal instrument that establishes the trust, names the trustee (typically yourself, initially) and successor trustee, and identifies your beneficiaries and their respective shares. The document must meet your state's specific requirements for a valid trust, which may include notarization and, in some states, witnessing. While online templates exist, errors in a trust document — such as an ambiguous beneficiary designation or failure to comply with state law formalities — can invalidate the trust or create unintended tax consequences. Having an estate attorney draft or at minimum review your trust document is strongly advisable. To understand potential tax implications, the IRS provides guidance on how revocable trusts are treated for income tax purposes.

Once the trust is established, you transfer your home into the trust by recording a new deed that changes the ownership from your name to the trust — for example, from "John Smith" to "John Smith, Trustee of the John Smith Revocable Living Trust, dated [date]." The type of deed used depends on your state — a quit claim deed or warranty deed may be used, and each provides different levels of title warranty. The deed must be properly executed (signed, notarized) and recorded with your county recorder's office or register of deeds to be legally effective. Recording fees vary by county but are typically modest — often under $100. For additional context on how deeds work in the estate planning process, see our guide on putting a house in a trust.

Many homeowners worry that transferring their home into a trust will trigger the "due on sale" clause in their mortgage, which could require immediate repayment of the loan. The Garn-St. Germain Depository Institutions Act of 1982 specifically prohibits lenders from enforcing due-on-sale clauses when a homeowner transfers their property to an inter vivos (living) trust in which they remain a beneficiary. However, you should notify your mortgage servicer of the transfer and confirm their process — some lenders may require documentation, such as a copy of the trust, to update their records. Your homeowner's insurance policy should also be updated to reflect the trust as an insured party. If you are considering refinancing after the trust transfer, see our guide on how often you can refinance your home for timing considerations.

Putting your house in a trust is one part of a broader estate plan — you should also review and update your will, financial accounts, life insurance beneficiary designations, and any other assets to ensure your full estate plan is coordinated. A "pour-over will" is often used in conjunction with a living trust to direct any assets not already in the trust to be transferred into it at your death. Regularly reviewing your trust and beneficiary designations after major life events — marriage, divorce, death of a beneficiary — helps ensure the documents continue to reflect your wishes. Keep a copy of the recorded deed and the trust document in a secure location and ensure your successor trustee knows where to find them. Our guide on how long to keep financial records also applies to trust and estate documents. Coordinating your trust with broader retirement planning — including how IRA accounts pass to beneficiaries — helps ensure the full picture of your estate is aligned.

The cost of creating a trust and transferring your home into it varies based on whether you use an attorney, an online service, or attempt to do it yourself. Attorney fees for a revocable living trust package typically range from $1,000 to $3,000 depending on complexity and location — this typically includes the trust document, a pour-over will, and deed preparation. County recording fees for the deed are generally under $100. Online DIY services may offer trust documents for $100 to $500, though the risk of errors is higher without professional review — errors discovered after your death cannot be corrected by you and may require expensive court proceedings to resolve. For a detailed comparison of the DIY risks, see our guide on whether you can put a house in a trust without a lawyer. If you still have a mortgage on the property, also consider how long it takes to refinance a house — you may want to complete any planned refinancing before or shortly after the trust transfer. Understanding how many people can be on a mortgage is relevant if a co-borrower or co-trustee is involved in the property.