If you own a home, you’ve probably heard the advice: “Put it in a trust.” But when you actually sit down to do it, the process can feel confusing. What kind of trust? Do you need a lawyer? What about your mortgage?
I’ve helped several family members navigate this, and I’ve learned that while it sounds intimidating, it’s actually straightforward once you understand the steps. Let me walk you through exactly how to put a house in a trust—no legal degree required.
Disclaimer: This is legal information, not legal advice. Laws vary by state. Consider consulting an estate planning attorney for your specific situation.
Why Put Your House in a Trust? (Understanding the Value)
Before jumping into the mechanics, let’s talk about why you’d even want to do this. It’s not just a fancy legal trick for rich people.
Avoiding the Probate Process (The Main Reason)
Probate is the court process that happens after someone dies. A judge supervises the distribution of assets, debts get paid, and beneficiaries wait—sometimes for months or even years.
I’ve seen families wait over a year to access a loved one’s home because it went through probate. Meanwhile, the mortgage still needed paying, and no one could sell or refinance until the court signed off.
A properly funded trust bypasses all of that. Your successor trustee can transfer the house to your beneficiaries in days or weeks, not months.
Privacy and Control
Wills become public record. Anyone can look up what you owned and who got what. Trusts are private documents.
Also, a trust protects you if become incapacitated. If you’re in an accident or develop dementia, your chosen successor trustee can step in and manage the property without needing a court to appoint a guardian.
The Cost Factor
Probate isn’t just slow—it’s expensive. Court fees, attorney fees, executor fees. In some states, probate costs eat up 3% to 7% of the estate’s value.
On a 500,000house,that’s15,000 to $35,000.
Setting up a trust costs far less. A DIY trust document runs 100orless.Hiringanattorneymightcost1,500 to $3,000. Either way, it’s a fraction of probate costs.
Which Type of Trust Do You Need? (Revocable vs. Irrevocable)
This is where people get tripped up. Not all trusts are the same.
Revocable Living Trust (The Standard Choice)
For almost every homeowner, this is the right pick.
A revocable living trust means you stay in full control while you’re alive. You can change it, add assets, remove assets, or cancel it entirely whenever you want. You’re still the owner for tax purposes. Nothing changes about how you live in or manage your home.
The downside? Because you still control everything, creditors can still go after the house. And it won’t help you qualify for Medicaid if you need long-term care.
Irrevocable Trust
This one has different rules. Once you put your house into an irrevocable trust, you can’t easily take it back. You give up ownership and control.
Why would anyone do that? Asset protection. Since you no longer technically own the house, creditors and lawsuits have a harder time reaching it. Also, if you’re planning for Medicaid, an irrevocable trust can help you meet the five-year lookback period.
But here’s the warning: Don’t do an irrevocable trust without a lawyer. Mistakes here can cost you your home.
Quick comparison:
| Feature | Revocable Trust | Irrevocable Trust |
|---|---|---|
| You stay in control | Yes | No |
| Avoids probate | Yes | Yes |
| Protects from creditors | No | Yes |
| You can change your mind | Yes | No |
| Best for… | Most homeowners | Asset protection / Medicaid |
Step-by-Step Instructions to Transfer Your House
Now for the main event. Here’s exactly how to put a house in a trust.
Step 1: Draft the Trust Agreement
First, you need the trust document itself. This names you as the grantor (the person creating the trust), the trustee (the person managing it—usually you), and the successor trustee (who takes over after you die or become incapacitated).
You have two paths here:
- DIY: LegalZoom, Nolo, or your state’s legal forms. Cost: 50–200.
- Attorney: A local estate planning lawyer. Cost: 1,500–3,000+.
If your situation is simple (one house, one spouse, adult kids as beneficiaries), DIY can work. But if you have blended families, special needs dependents, or a high net worth, pay for the lawyer.
Step 2: Prepare the New Deed
The trust document itself doesn’t transfer the house. You need a new deed.
Most states use either a quitclaim deed or a warranty deed. The key is that the grantor (you) transfers ownership to the trustee of the trust.
Here’s the exact naming convention that trips people up:
Wrong: “John Smith Family Trust”
Right: “John Smith, as Trustee of the John Smith Living Trust dated January 1, 2025”
Get that wording wrong, and the county recorder might reject it.
Step 3: Sign and Notarize
Once the deed is prepared, you sign it in front of a notary public. Some states also require witnesses. Check your local rules.
The notary doesn’t validate the legal details—just that you are who you say you are and that you signed willingly.
Step 4: Record the Deed at the County Recorder’s Office
This is the most important step—and the one people skip.
You must take the signed, notarized deed to your county recorder’s office (sometimes called the register of deeds). Pay the recording fee, typically 15to150 depending on your county.
Once recorded, the transfer is official. The county’s property records will now show the trust as the owner.
Step 5: Fund the Trust (The Most Overlooked Step)
I can’t tell you how many people create a beautiful trust document, file it in a drawer, and completely forget to actually transfer the house.
If you don’t record the deed, the trust is empty. An unfunded trust does nothing. Your house would still go through probate.
Recording the deed is how you “fund” the trust with your house.
Special Considerations: Mortgages, Insurance, and Taxes
Can I put my house in a trust if I have a mortgage?
Yes. And here’s why you don’t need to worry about your lender calling the loan due.
The Garn–St. Germain Act is a federal law that prevents lenders from enforcing a “due on sale” clause when you transfer your home to a revocable living trust. As long as you remain a beneficiary of the trust and continue living in the home, your mortgage is safe.
That said, I still recommend notifying your lender. Send them a letter or upload a copy of the recorded trust deed to your online account. Some lenders get confused when property tax bills come in the trust’s name instead of yours.
Do I need to update my homeowners insurance?
Yes, and don’t skip this.
Standard homeowners policies insure the named insured—usually you personally. If the deed now says your trust owns the house, there’s a technical gap in coverage.
Call your insurance agent. Ask them to endorse the policy to add the trust as an “additional insured” or as a “named insured.” This costs nothing extra but prevents a denied claim later.
Will I pay higher property taxes?
Generally, no.
Most states exempt transfers to a revocable living trust from property tax reassessment. You’re still the beneficial owner, so the tax basis stays the same. California’s Proposition 19 changed some rules, but transfers to a revocable trust remain exempt in almost all cases.
Common Mistakes to Avoid
Over the years, I’ve seen these mistakes wreck good estate plans.
The unfunded trust. You draft the trust, you sign it, you pat yourself on the back. Then you die, and your house goes through probate because the deed was never recorded. Tragic and completely avoidable.
Not updating insurance. Your house burns down. The insurance company says, “The policy holder is John Smith, but the property owner is the Smith Family Trust. We don’t have a contract with the trust.” That’s a fight you don’t want.
Putting retirement accounts into the trust. Do not transfer your 401(k) or IRA into a living trust. Retirement accounts have their own beneficiary designations. Moving them into a trust can trigger immediate taxes and lose creditor protections. Leave them alone.
Forgetting the car and bank accounts. While you’re at it, consider transferring your bank accounts, brokerage accounts, and even your car into the trust. A trust that only holds the house is still better than nothing, but a fully funded trust leaves nothing for probate.
Frequently Asked Questions
How much does it cost to put a house in a trust?
DIY route: About 100foratrusttemplateplusthecountyrecordingfee(15–150).Attorneyroute:1,500 to 3,000onaverage.Someflat−feeestateplanningfirmschargearound2,500 for a full package.
Is it better to put a house in a trust or a will?
A will still goes through probate. A trust does not. If avoiding probate is your goal, trust wins every time. Many people use both: a trust for the house and major assets, plus a “pour-over will” that catches anything left out.
Can I sell my house if it is in a trust?
Yes. As trustee, you have full authority to sell the property. The buyer won’t care whether you own it personally or as trustee. You’ll sign the sale documents as “John Smith, Trustee of the John Smith Living Trust.”
What happens to the trust when I die?
Your successor trustee steps in. Their job is to follow the trust’s instructions—typically transferring the house to your named beneficiaries, paying any remaining debts, and closing things out. No court involvement required.
Does putting my house in a trust protect it from creditors?
For a revocable living trust, no. You still control the assets, so creditors can still reach them. For an irrevocable trust, yes—but you lose control. Talk to a lawyer before going that route.
Can I remove my house from a trust later?
If it’s a revocable trust, absolutely. Just prepare and record a new deed transferring ownership from the trust back to you personally. Easy.
Final Thoughts
Putting your house in a trust sounds like a big legal project. But it’s really just a few steps: create the trust, prepare a deed, sign it, record it, and update your insurance.
The hardest part is sitting down to start.
If you have a straightforward situation—one house, a spouse or kids as beneficiaries, and no complicated tax issues—you can probably handle this yourself with a reputable online service. If you have any doubts, spend the money on an estate planning attorney. It’s worth the peace of mind.
And whatever you do, don’t forget to record that deed. An unfunded trust is just an expensive stack of paper.