There are other problems too. Depending on the state the property is located in, putting your home in a revocable trust might jeopardize a homestead exemption, might require a transfer fee, or might cause your property to be reassessed for property tax purposes. Moreover, this type of trust will not reduce estate taxes. In some states, a revocable living trust, unlike a will, is not automatically revoked or amended on divorce. If you don't amend the trust, your ex-spouse could end up being the beneficiary.
Conflicts can arise between trustees and beneficiaries.
For example, beneficiaries often prefer riskier, higher-income investments than trustees, who have a duty to preserve the original assets of the trust as well as the duty to invest the assets prudently. Conflict of this sort is especially likely to occur if the trust is designed for the benefit of more than one generation. Conflicts also might arise among different classes of beneficiaries. For example, your child may be the current beneficiary, with your grandchildren becoming beneficiaries after your child dies. In this situation, your child and grandchildren may have conflicting interests in the trust.