Hello all, I will be setting up a land trust and will have my LLC as beficary. My question is who should the rental agreement be between ? The tenant and (A) the Trustee , (B), the trust itself, or (C) the benificary?
The trust is owner, so the trust!
Signed by the trustee!
Ok . Then if the trust is the lessor ,then who would the tenant rental checks be made out to?. I had the understanding the the land trust would not have a bank account as each property will have it’s own separate LandTrust… Can someone please give the logistics of the bank account and payment structure? One LLC would be trustee and another LLC would Be the benificary.
Does LLC trustee and LLC benificary each need a bank account. Remeber part of a land trust is for privacy of ownership . I would not favor the tenant making the check payable to The benifical LLC thus giving away the true beneficial owner.
Any thoughts and suggestions appreciated.
Please Recommend how you would do it.
Start a management entity! Then make formal agreement for trust / trustee to contract with management entity to recieve rents and manage property!
Thank you GR that is certainly one way to set it up. I appreciate your input.
Anyone else have any other ideas ? I am open to anyone else’s thoughts In the event I may just rather simplify it.
Even I have the same opinion that the agreement should be made between the tenant and the the trust…The reason behind my saying is that the trust is the main owner, the responsible party for the property so it would be the best one to have a agreement with the tenant.