I have purchased my property in my personal name. My LLC is only 6 months old, and I was told that I need 12 months seasoning to be able to purchase real estate in my companies name. I feel vunerable having my property out there, unprotected, and want to get it into a land trust ASAP. I have been told, even just putting it into the LLC, does not protect my property from a law suit.
How do I go about getting my property into a land trust? Where do I find the forms?
I would appreciate any help, and Thanks in advance.
mark said that nothing will protect real property from a law suit. the idea is to let the owner(trust/llc) take the hit not you personally. Land trust for privacy and profit is a good book and it comes with the forms but I would run it through a local attorney.
Thanks for the info. I will check this book out.
From my personal opinion, most of the time individually property is just quit claimed to an LLC or trust after a closing. In some cases (particularly in 1st and 2nd homes) this can trigger the due on sale clause, so make sure that your mortgage company understands what you are doing.
Consider a Nevada Series LLC to hold multiple properties in several buckets to limit the liabilities of each, although separation of assets (separate checking accounts, rent receipts and bill payments for each property must be strictly maintained). These LLC’s act as a separate LLC for each property if properly mantained. There has not been any serious legal challenges to Series LLC’s, so they remain relatively untested.
Otherwise consider holding each property in a single LLC with a separate managing LLC to take profits from each to minimize liability exposure to each property. This will cost you more than the Series LLC.
I’m not an attorney and I always suggest contacting an attorney or financial planner to review these processes before proceeding.
If you are knowledgeable and have formed corps and LLC’s before, you can save a lot money by using internet services to perform these functions.
Most attys have no clue when it comes to land trusts (even people who deal with real estate). The book by Mark Warda (listed in previous post) is sufficent to get you going.
An LLC will also handle you liability concerns.
I can recommend a good atty in CT if you’re in CT, other than that check with your local REI club for recommendations.
Thanks again everyone. I will get that book and learn how to put the properties into a landtrust, however, I have another question.
If I quit claim my property into the name of someone else, and someone wanted to try and put a lien on my property, does this make it impossible for the person to put the lien on the property, now that it has been quit claimed in the name of someone else. I have some nutcase, who is threatening to put a lien on my properties for something silly, and I want to make sure he cannot do that.
a quitclaim doesn’t transfer anything. you need a general or warranty deed to transfer property.
Mcwagner,
Does the warranty deed transfer, invoke the due on sales clause? I am thinking of taking control of my mothers home after an stroke. Just do not know the correct way of doing it. I live in Indiana, if this helps.
transfer into a land trust does not violate the DOSC.
McWagner,
You recommend I do it in a Warranty deed. Will this trigger the DOSC?
If so, transferring my property into a land trust, will this protect me?
that question has already been answered.
protect you from what? getting old and bald? nope.
McWagner,
Sorry to have troubled you. Have a Merry Christmas!
degraffreed - Please let us know how this goes, I am also in Indiana.