hello, new to forum. im familiar with most of the basics of subject to deals. my question is, if you are looking for a subject to property to use as YOUR principle residence, with the goal to refinance later and still use it as your principle residence, should the deal still be structured in another entity’s name, or should you go ahead and use your name since there is no end buyer, thus, no liability to a end buyer that you have to worry about…
had to read the questions 3 times i’m not sure i understand it… there is always and end buyer… in this case you are the end buyer… I would always use an entity… the question is how are you going to refinance if you are not the debtor?
If you are the end buyer then I would recommend putting the offer and all subsequent paperwork in your name. First, it is easier to claim the tax benefits of a homestead when the property is in your name. Second, if you put the property in your investment LLC, for example, this property becomes a liability to you if the LLC comes under a lawsuit. By keeping your personal residence out of your company LLC you will protect your personal assets.
I would suggest you consider using a trust rather than a corporate structure. You will still have limited liability and accomplish your goals. In addition, I would obtain lien rights to the property by publishing an affidavit of truth for money paid including down, monthly, taxes, insurance, maintenance, repairs, etc., plus the cost of your time/labor for managing and taking care of the property, then use an affidavit of obligation for those expenses, publish into the public, then place a lien for that amount (which could be updated periodically), with the lien against the property in favor of the trust you establish. This could insulate you from attacks against you and the property from banks, attorneys, tax agencies, etc.
A commercial lien has priority over mortgages and if you do your paperwork correctly, you could protect the property from any attacks of from banks who like to steal property with their fiction using foreclosure procedures.
Hope this helps.
Rob