Posted by Gino on July 06, 2004 at 16:45:15:
Hello, I am researching the same situation. Planning on speaking with RE attorney this week. Also I have heard that you need to be careful about not voiding your title policy (heard this can be gotten around by adding the LLC to your title policy).
Does anyone have any more info about the lender concerns.
Property transfer to LLC - Posted by Lauren IN
Posted by Lauren IN on May 10, 2004 at 17:36:15:
I have just opened up my new LLC and wish to transfer properties into it. Would it be better to put into a Land Trust first and then switch the beneficial interest, or just directly into the LLC’s name? I am concerned with:
1)asset protection and anonymity
2)lender hastles (They are currently all paid off, but hope to be getting financing in the near future)
3)property taxes: loosing deductions
Just would like to compare the pros and cons of the two different ways of property ownership transfer.
Thanks,
Lauren IN
Re: Property transfer to LLC - Posted by William Bronchick
Posted by William Bronchick on May 10, 2004 at 20:33:11:
Using the land trust method will certainly help with issue #1, anonymity. In terms of lender hassle, most lenders will require you to quitclaim the property to your own name, whether LLC or land trust. In terms of tax issues, it does not matter, since the land trust is disregarded for federal income tax purposes.
Re: Property transfer to LLC - Posted by colleen
Posted by colleen on June 14, 2004 at 13:35:48:
Hello -
I’m in the same boat! Regarding lender hassle, what if your mortgage has the DOS clause? Is there any way to get around this without refinancing at a much higher rate? Granted, there won’t be any change in ownership in terms of who is paying the note, but don’t they still call it if you QC to LLC? Has anyone ever asked the lender for approval to do this? Thanks!!