Deferred Sales Trust

May 21, 2025
by a searcher from University of Washington in Redmond, WA, USA
I am selling my property to invest in deals. I was suggested to look into a structure - Deferred Sales trust with an investment advisory. The idea will be to bring the property under the trust and the trust to issue me a promissory note with a payment structure. The trust will then sell the property and use the proceeds to pay the promissory note. An investment advisory team (separate from the Trust) will work with me to allocate funds out of the trust for new deal acquisition, and the same team will work with the trustee to allocate the funds accordingly.
I was recommended this approach to keep an arm's length with the trust.
Had anyone implemented this? I would like to hear the pros and cons. Also, any recommendations for implementing this trust?
Thanks in advance
Sreenath
from Massachusetts Institute of Technology in Portland, OR, USA