Before You Buy That Jet: Considerations on Big Purchases

Larger "lifestyle" purchases, be it a vacation property, a private plane or a thoroughbred horse, typically come with a series of decisions beyond determining, what should I be paying for this?

Take a home purchase, for example:

• How should it be purchased -- cash or cash and debt?
• Should it be purchased in trust?
• If so, what kind of trust? Whose trust?
• If not in trust, should you utilize private debt from the trust to finance the purchase?
• Should the debt be structured as a mid-term note or a long-term mortgage, which would require filing?
• Have all the insurance and carrying costs of