What is a declaration of trust?

A declaration of trust is one of the two ways that an inter vivos trust, also known as a living trust, can be set up. A declaration of trust is where the person setting up the trust (the settlor) wants to retain legal title in the property, so they make themselves the trustee, giving the equitable title to someone else.

The other way an inter vivos trust can be set up is by a transfer in trust.