Forming Corp. question. Transfer of property to Corp. - Posted by Johnman

Real Estate Investing
1

Posted by johnman on March 16, 1999 at 22:50:44:

JPiper,

Thanks dude. I would like to hold onto these properties. I will talk to my CPA asap.

Thanks again,
Johnman

2

Forming Corp. question. Transfer of property to Corp. - Posted by Johnman

Posted by Johnman on March 15, 1999 at 22:57:03:

Hi everybody,

I’m reading Bill Bronchick’s “How to create a bulletproof Corporation”. I know I need to create a corporation to replace my sole proprietorship. Please correct me if my understanding of what needs to be done is incorrect (regarding transfer of real estate into the corp).

First I need to get the properties out of my name (all of them are still in my name), transfer them into a land trust(s). Then I will transfer control of the properties into my new corp. Does this sound alright to you folks? I hope I got it right. Any thoughts?

Thanks,
Johnman

3

Re: Forming Corp. question. - Posted by JPiper

Posted by JPiper on March 16, 1999 at 18:32:39:

Rob below has the correct process.

The only question I would have has to do with the nature of the property, what your intent with the property is, and whether a corporation or llc would be more preferable. Generally, Bronchick’s advice is that long term holdings are better held in an llc than a corporation, although there appears to be a split in opinion regarding this.

One other thing I would run down with either your CPA or tax attorney. I would check out the rules concerning “related party” transactions, and how they may apply to your particular circumstances.

JPiper