Thus, the arrangement is responsive to market fluctuations, and your income can provide a hedge against inflation. If you have assets that are difficult to value, there may be other gift plans better suited to your situation.
Many benefactors choose the unitrust for gifts of real estate.
If you use real estate to fund the trust, your payments will begin when the property is sold and the trust reinvests the proceeds of the sale in income-producing assets. Because you receive income only after the property is sold, you may elect to receive additional income later to make up for the payments that were not made to you before the property was sold. The trust can be for one or more lifetimes, or can be for a specified term up to twenty years. Copyright 2000, The Pennsylvania State University . All Rights Reserved.