Property Trust Deeds
This is one of the most important yet least considered areas of the law when acquiring a property as this sets out the relationship between the various property owners (if you are purchasing jointly or as a larger group) and establishes each parties’ financial entitlement to the sale proceeds.
If one of you is contributing a larger contribution towards the purchase price and fees and costs associated with it then it would be wise for you to enter into a Declaration of Trust.
A Trust Deed is a recorded declaration of your intentions of the transaction and be conclusive evidence as to the respective interests you each have in the event of any disputes in the future between you. It can also record any private and personal agreements between you and to set out any special requirements in the event one of you wishes to sell in the future.
A Trust Deed is a personal document between the parties and sits behind the title (i.e. it is not generally registered at the Land Registry).
In the event that a Trust Deed is required, we are only able to represent one of the contracting parties interest and so it may be necessary to involve another firm of solicitors to provide independent legal advice as to what the terms of the Trust Deed mean for a particular party.