Simplest method to achieve privacy - Trust or LLC?

General Real Estate Investing
1

Hello,

I recently joined this group and I find the people and answers very informative. So, hopefully, someone will know the answer to this question.

I have been researching which is the easiest, most economical method to title a new residential house (no mortgage required)and car for when my husband and I move to WA in about 6 months. I’ve been receiving conflicting information which is making the decision difficult. The Trust or LLC would only be to hold title to property; not earn income. My top priority is privacy from public records due to a stalking incident

The Trust lawyers that I communicate with do not want to talk about Land Trusts. He/She only wants to form a Living Trust which costs thousands of dollars and is more concerned with estate planning than privacy.

So I am now looking at forming an LLC. However, I would form the LLC in New Mexico due to its favorable LLC laws and I’ve been told that I can title a WA house and car under a NM LLC. I agree with hiring an attorney for the first formation but I’m having trouble finding one. Does anyone know of one or a reputable company to set up the NM LLC? And one that has a decent draft of an Operating Agreement that I can add on to?

Also, to assure further privacy, we don’t plan to be the LLC Managers.
And, from reading other posts, some of you don’t think a family member or friend as the Manager is a good idea. So what are some other options?

Thank you for your help.
Samantha

2

I think the lawyer is doing you a favor. A revocable trust isn’t a bad idea. It will give you the privacy you want plus many other benefits. Keep in mind there is no privacy. If someone wants to find you, they will find you.

What are the WA rules for registering an LLC? You will have to disclose the names of managers and members if they require names to be listed in the public record. You will also need a NM registered agent and pay the annual fee for NM and WA. WA law governs the LLC, not NM. Out of state LLCs are for LLCs that do business in multiple states. You will also lose tax benefits and your homestead protection if title is held by an LLC.