What to do if I have a rental property that i would like to put in an LLC?
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What to do if I have a rental property that i would like to put in an LLC?
I’m the sole member of the LLC. What’s the best way to do this? Will it affect my current mortgage on that property?
Asked on September 17, 2012 under Real Estate Law, Georgia
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
The transfer of legal title of the real property that you own should have no legal effect upon your mortgage's due on sales clause since you own the limited liability company that you want to transfer the title of your property into.
The way to do what you desire is to consult with a business attorney to create a limited liability company with your state's secretary of state's office. Once created, you then transfer title of the property you have by way of a deed recorded in your county's recorder's office into the name of your limited liability company. I suggest that the business attorney discuss the pros and cons of what you want to do.
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