Dec242025
Real Estate Q&A Series

Should the listing agreement be signed by me as trustee in the trust’s name, and what documents will the agent and buyer need from the trust? – North Carolina

Short Answer

In North Carolina, a home held in a trust is typically sold by the trustee, so the listing agreement is usually signed in a trustee capacity (for example, “Jane Doe, Trustee of the Doe Trust dated …”). Most agents, buyers, and closing attorneys will also ask for documents that prove the trustee’s authority to sell and identify the current trustee(s), often through a short “certification of trust” or a trustee affidavit rather than the full trust instrument.

Because delinquent property taxes and an eminent domain matter must be cleared before closing, the closing attorney will also need payoff information for taxes and any condemnation-related paperwork so the sale can be insured and recorded.

Understanding the Problem

In North Carolina, when a house is titled in a trust and a trustee wants to hire a real estate agent and later sign a contract to sell, the decision point is how the trustee should sign so the trust is properly bound and the trustee’s authority is clear. The related practical issue is what trust-related paperwork a listing agent, buyer, and closing attorney typically require to confirm who can sign, whether more than one trustee must sign, and whether the trustee can convey good title despite the property being “in the trust’s name.”

Apply the Law

North Carolina treats a transfer “to a trust” as a transfer to the trustee(s), and a transfer “by a trust” as a transfer by the trustee(s). In practice, that means the trustee is the person with authority to sign transaction documents, and signing in a trustee capacity helps avoid later disputes about authority. A closing is typically handled through a North Carolina closing attorney, who will confirm trustee authority, resolve tax liens, and make sure the deed can be recorded in the county Register of Deeds.

Key Requirements

  • Proper signature capacity: The trustee signs as trustee (not individually) so the agreement is clearly made on behalf of the trust’s ownership of the property.
  • Proof of authority and identity of trustee(s): The parties usually need a document showing the trust exists, the trustee is the acting trustee, and the trustee has power to sell the real estate.
  • Clear title items tied to closing: Delinquent tax liens and any eminent domain/condemnation paperwork must be addressed so the closing attorney can insure title and record the deed.

What the Statutes Say

Analysis

Apply the Rule to the Facts: The home is titled in a trust and will be listed and sold in the trust’s name, so the trustee is the party who typically signs the listing agreement and later signs the sales contract and deed in a trustee capacity. Because property taxes are delinquent and must be brought current before the eminent domain matter can close and the sale can proceed, the closing attorney will need up-to-date tax payoff information and will usually require that delinquent taxes be paid at or before closing. Since taxes were paid out of pocket for multiple years, the trustee and closing attorney should also track documentation so the trust can reimburse the payer from trust funds or (if appropriate under the trust terms) from net sale proceeds as part of the closing disbursements.

Process & Timing

  1. Who signs the listing agreement: The trustee(s). Where: With the brokerage and later the North Carolina closing attorney handling the sale. What: A listing agreement naming the seller as the trust (or trustee as seller) and signed “as Trustee.” When: Before marketing begins; do not wait until contract/closing to confirm trustee authority.
  2. Trust documents gathered early: The trustee provides proof of trust and trustee authority. In many closings, that means a short trust summary (often called a certification of trust) and any trustee acceptance, resignation, death certificates (if relevant), or amendments that change trustees or powers. Counties and title insurers often prefer not to receive the full trust unless needed.
  3. Title & payoff package: The closing attorney orders title work, requests a tax certificate or payoff from the tax collector, and obtains condemnation/settlement documentation for the eminent domain matter. Taxes and liens are handled through the closing disbursement so the deed can be recorded and the buyer can receive insurable title.

Exceptions & Pitfalls

  • More than one trustee: If the trust has co-trustees, the trust terms may require both signatures. A buyer and title insurer may refuse to close without all required trustee signatures.
  • Outdated trust paperwork: If the trust was amended, or if a trustee resigned or died, providing only the original trust can cause delays. The closing attorney typically needs the current trustee chain and the portions showing powers to sell and sign.
  • Signing “individually” by mistake: Signing only a personal name can create confusion about whether the trust is bound. Signing clearly in a trustee capacity helps avoid last-minute corrections and re-signing.
  • Delinquent taxes and disbursement planning: Delinquent taxes can reduce or eliminate net proceeds. If reimbursement for out-of-pocket taxes is expected, it should be documented and addressed in the closing statement instructions so it does not become an after-closing dispute among beneficiaries.
  • Eminent domain paperwork not matched to title: Condemnation cases often involve vesting dates, partial takings, and payee issues. If the condemnor’s file lists the wrong owner name (trust vs. trustee), the closing attorney may need corrective documentation before the sale can close.

Conclusion

In North Carolina, a trust-owned home is generally sold through the trustee, so the listing agreement should ordinarily be signed in a trustee capacity to show the trust is the seller. Agents, buyers, and the closing attorney typically need proof of the current trustee(s) and the trustee’s power to sell, often through a certification of trust and related trustee paperwork. The most important next step is to provide the closing attorney a trust authority packet and request a written tax certificate/payoff early under N.C. Gen. Stat. § 105-361 so delinquent taxes can be handled before recording and closing.

Talk to a Real Estate Attorney

If a trust-owned property sale also involves delinquent taxes and an eminent domain matter that must be cleared before closing, experienced attorneys can help coordinate the trustee authority documents, closing requirements, and timelines. Call us today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.

Category: Real Estate Q&A Series

Author: jpierce

Attorney Jared Pierce is the founder of Pierce Law Group in Raleigh, North Carolina, a firm he established with a dedicated focus on probate administration and estate planning across North Carolina. Born and raised in the Republic of South Africa, Jared moved to Durham with his family in 2001, bringing with him a rich cultural background and a distinctive accent that often serves as a conversation starter.