How Should I Transfer A Property To An LLC?
My wife and I purchased a rental property with another couple. It was necessary for us to purchase in our personal names to get credit. We want to transfer ownership to an LLC we have created. How do we do this? Do we have to inform the title company? Does a quit claim deed suffice?
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We purchase a lot of properties with our own credit (since that is about the only option) and then quit claim deed them into an LLC. You will have to make sure you select the right exemption on the transfer form otherwise they will try to get you to pay a transfer fee.
How would I find this transfer form? By the way-I am in Michigan.
You should probably be able to do this at your local courthouse or county tax assessor collector’s office. Call around first to be sure.
Hi
I just wanted to know when you transfer, How do you get around the due on sale clause? and when you transfer into the business LLC will it help the credit or profile of the company?
Thanks for your help
The LLC will protect your personal assets, but your property will remain partitionable and subject to liens and encumbrances. Place it in a land trust, then assign a beneficiary interest to your LLC. This method will provide the best asset protection and is exempt from the DOSC. Good luck.