Could it be a trust?

[monty]

Hi,

I have an RP Data report which lists the owner of the property as XXX Pty Ltd. Could this be a trust? The agent was telling me the vendors are selling because they are retiring and I wasn't expecting a Pty Ltd as the owner.

Thanks

 

[Terry_w]

Hi,

I have an RP Data report which lists the owner of the property as XXX Pty Ltd. Could this be a trust? The agent was telling me the vendors are selling because they are retiring and I wasn't expecting a Pty Ltd as the owner.

Thanks

Any legal person could be acting as trust. Could be a trust for a discretionary trust, a SMSF or a Custodian trust. But then again it may not.

Does this make a difference?

 

[monty]

Any legal person could be acting as trust. Could be a trust for a discretionary trust, a SMSF or a Custodian trust. But then again it may not.

Does this make a difference?

Just curious. Thanks for the reply.

 

[Terry_w]

Just curious. Thanks for the reply.

It could make a difference if you are chasing a debt I guess as assets of the company may not be available to creditors of the company if the company is holding these assets as trustee for others.

 

[Greg Reid]

As Terry suggests, it could be a corporate trustee. If the beneficial owners do run their own business, they could well have set up a trust to own assets including a residential house as a form of asset protection.

It could also be on the basis of 'poor' accountants advice to use a company structure. It shouldn't affect you as a potential purchaser.

 

[Peter_Tersteeg]

Could depend on the source of the information.

One of my rates notices comes to mind in that it states the full trustee company and the trust. I ran a Residex report this morning on that property and it states it's owned by the trustee company, no mention of the trust anywhere.