Tranfering Property Yo LLC
I am looking at purchasing an investment property. It is a house split into an office and an apartment. My father has a medical practice, he would use the office space for his practice.
Be cause of his debt / income ratio, father is not able to get financing, but I can easily obtain the loan.
I would like to know if it would be better to purchase the property, then transfer it into an LLC, or to form the LLC and purchase the property. My father plans on buying me out within 6 months.
Any advice would be helpful.[ Edited by solwarn on Date 03/23/2005 ]
For 6 months? I would just purchase the property in your name - No need to get an LLC involved just yet. If you try to obtain financing under an LLC, you are going to find it a difficult path.
My suggestion is to purchase the place in your name, then after 6 months have your father "buy you out", and you are in the clear. If you father wants to transfer it to an LLC then, he is absolutely free to do that!
Good Luck!
[addsig]
Geez, a medical practice where infirmed people are coming and going. Do you smell a law suit if someone slips and injures themselves on your property? Use an LLC and gets lots of insurance.
Brenda