Single trustee discretionary Trust for Mortgage purposes

Trusts Discussion
1

I am looking to settle a property into a new discretionary trust and require a mortgage secured against that property. To facilitate the mortgage application, is it technically and practically viable to draft the trust with a single trustee initially?

I am aware that a minimum of two trustees is required to provide a valid receipt for capital monies upon the subsequent sale or transfer of land. My intention is to appoint an additional trustee at the point of future disposal. Does this single-trustee structure pose any issues for lenders, or are there any unintended tax/legal consequences to this approach?

2

My question would be whether you’ve already got the mortgage underwriting in place? Past experience suggests it’s very difficult to find a lender who will lend to a trust except in very high value cases. And if you can’t, then your question becomes a bit academic.