If I have my LLC in place, and buy a prop, the transfer the deed to the LLC, what will happen to the loan? Will it be also owed by my LLc, or still by me? Any comments welcomed.
Howdy Metalslug:
The loan will not change. It will still remain in your name. If it has a due on sale clause you may even violate it by transferring the deed to the LLC.
Ted’s right. The lender can call the loan if you transfer ownership, but I havn’t seen this happen in 20 years of being in the mortgage industry. It’s done all the time to prevent you from having personal liability in eveything but what you’ve personally signed for…like the mortgage.