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Intermediate1.5 hours9 terms

Dynasty Trust: Key Investment Terms

This curated collection offers key terms that might be helpful when exploring dynasty trusts for real estate investment. It's designed as a quick reference to commonly referenced concepts, supporting your learning journey without providing comprehensive legal or financial advice.

Term Collection

1

Generational Wealth

Generational wealth refers to assets, knowledge, and values passed down from one generation to the next, providing a financial foundation and opportunities for future family members.

Intermediate2-3 min
2

Asset Protection

Asset protection involves legal strategies and structures designed to safeguard an individual's or entity's wealth from potential claims by creditors, lawsuits, and other liabilities, particularly crucial for real estate investors.

Intermediate15-18 min
3

Estate Tax

A federal and/or state levy on the transfer of a deceased person's net assets to their heirs, calculated on the fair market value of the estate at the time of death or an alternate valuation date, after specific deductions and exemptions. It is a tax on the right to transfer property, not on the right to receive it.

Advanced8-9 min
4

Rule Against Perpetuities

The Rule Against Perpetuities (RAP) is a common law legal principle that prevents property interests from being tied up indefinitely in the future, ensuring that ownership vests within a specific period to promote alienability.

Advanced5-6 min
5

Dynasty Trust

A Dynasty Trust is an irrevocable trust designed to hold assets for multiple generations, often in perpetuity, shielding them from estate taxes, generation-skipping transfer (GST) taxes, and creditors for the benefit of descendants.

Advanced13-14 min
6

Estate Planning

Estate planning is the process of arranging for the management and disposal of a person's assets, including real estate, during their life and after death, to minimize taxes and ensure wishes are met.

Intermediate15-18 min
7

Gift Tax

The Gift Tax is a federal tax imposed on the transfer of property or money from one individual to another without receiving full consideration in return. It applies to gifts exceeding the annual exclusion limit and is primarily the responsibility of the donor.

Intermediate5 min
8

Real Estate Trust

A real estate trust is a legal arrangement where a property owner transfers title to a trustee, who holds and manages the property for the benefit of designated beneficiaries, offering advantages like privacy, asset protection, and streamlined estate planning.

Intermediate15-18 min
9

Real Estate Portfolio

A real estate portfolio is a collection of investment properties owned by an individual or entity, designed to generate income, appreciate in value, and diversify investment risk.

Beginner2 min

Common Questions