how to protect

General Real Estate Investing
1

I have investment 5 properties…
I have due on sale clause on my mortgages…
How do i assign them to LLC.,s

2

Other forum participants may have their own experiences to share; however, I can share that most, if not all, mortgages have the due on sale clause. People transfer their properties to LLCs all the time without any problems. Why? … because as long as the mortgage company is getting its monthly payment, they’re not going to give you any problems. They want your money and don’t care much whether the title went to a LLC. You probably personally signed on the mortgage anyway. Of course you can contact the mortgage company and get written permission to make the transfer, but it may be more trouble than its worth. My suggestion is to make the transfer and not worry about the due on sale clause.

3

Hi I’m new to the site & first time participating in the forum .My question is regarding the answer to how to protect.I have 1 rental property that i just purchased a few months ago & have now established a LLC.I want to transfer the property into the LLC but when i first contacted the mortgage company they said they could not change the title because they don’t handle commercial accts & a LLC is for business .The property i have is a residential 3 bdr house.How do i get around this or what am i doing wrong.I establashed the LLC because i was told it was the best option as far as liability & tax reasons.Any help would be appreciated.Thanks

4

Read my prior message again … then transfer your property into the LLC yourself. Use a warranty deed form. You’ll need to record the deed. You’ll still have a personal obligation to pay the mortgage, but the legal title to the residence will be held by the LLC.

5

Thankyou for your feed-back…
Warranty form ?
How do you record your deed?

Kishore

6

Thanks for the info,I appreciate the help. Thanks