D.C. Homestead Deduction: What If The Property Is Titled In The Name Of My Trust?

Do you qualify for the D.C. Homestead Deduction if the property is titled in the name of your trust?

Yes, assuming you occupy the property as your principal residence and you are the grantor, settlor, or trustor, and a beneficiary of the revocable trust.  D.C. regs define “revocable” to mean “that the grantor, settlor, transferor, creator or trustor of the trust has the right to recover property transferred to the trust and to end the trust at any time, thereby regaining absolute ownership of the trust property.”  Further, “[A] trust is revocable if the grantor, settlor or trustor expressly reserves the power to revoke the trust under the terms of the trust instrument.” For purposes of D.C. Code §§47-849 through 47-850.03 and 47-863: See DC Regs § 9 DCMR 337

Other types of trusts and partnerships may also qualify for the D.C. Homestead Deduction benefits.  For more information or questions, please contact one of our staff attorneys at info@federaltitle.com.