Hi Tim,
I was reading your article in texasrealestateclub.com and I had order 4 books today from Amazon.com
- The complete guide to your R.E closing
- Land Lording
- Managing Rental Properties
- Land Trust for Privacy and Profit
plus one set of Bronchick - Your Step by Step Guide to Land Trusts ($249.00)
I started investing in real estate last September and had purchased 5 rental homes since. I put my name on all these 5 rental homes. I was/am looking for attorney to help me get my name out of the properties but none of the attorney I counseled with can give me a satisfactory solution, one said I need to deed it to another Warranty Deed and inform my bank of that, but
every loan has due-on-sale clause! the other one said I need to form 5 different LLC and deed my properties to my 5 LLC and notify my bank and insurance company of that, we asked our banks if it’s ok to change our loan to LLC for asset protection, their answers are NO… I don’t think their advice sounds logical
to me. That’s when I started to suft the net and I found your website plus I just joined a RealEstateCLub (RICH) in Houston.
I really want to settle this matter as soon as possible. Do you have any recommendation on the attorney that does the Land Trust in Hosuton Texas?
As far as I understand (from your chat forum), I need to form 5 separate trust for each rental home (123 south street Trust, 234 main st Trust…), and appoint a trustee to each trust and beneficiary will be my LLC (may be put 2 rental homes in one LLC)? If the beneficially is my LLC will this not alert the bank with the Due-on-clause and how about the insurance? If I create a trust to each of my property and beneficiary to my LLC do I have to inform my Hazard insurance of the changes? My name is on each insurnce coverange policy.
Please advice how should I get my name of the rental properties and with the right coverange with my insurnace. I plan to keep all the rental homes at for another 5 years.
In the future if I purchase any rental home, how will I do it, should I purchase the property under my name at the closing and form a trust right after? or is there a way to purchase a property using a trust with bank loan or mortgage company?
Thanks for any advice. Looking forward to hear from you.
Sarah at sarahlim2000@hotmail.com