Posted by Houserookie on August 31, 2003 at 24:54:27:
You should contact a local attorney that specializes in this field. I am not qualified to comment. Only one signature is required assuming a single trust member.
It might be easier to partition a C corp and LLC or
sue for negligence. I don’t have an opinion on the divorce issue other than it’s an investment in and of itself. Make your investment from the start and pray for the best.
Business trusts and other irrevocable trusts are controlled by its members and liability free members.
A friend of mine wants to become a REI, and now is closing on a deal (he is buying a condo - with his own money) in CA. What happened is his wife is out of the country, and cannot close it because his wife won’t sign the ‘Quit claim deed’ she wants to be on the deed, but she is not here in US to sign the needed papers (she could sign the 'Quit claim deed in the US Consulate thoug.) Now looks like he’ll lose the deal and his escrow money because of that. In fact he is the only working in the family and he pays all the bills including her trips overseas. My question is how can he invest and sell and not depending on his wife’s signatures on his deals. Can he be free doing deals in US/CA though being married? Thanks.
Re: How can a friend of mine be free … - Posted by Brad Crouch
Posted by Brad Crouch on August 30, 2003 at 17:12:55:
Gary,
Have you checked into the possibility that a Power Of Attorney document might solve the problem. It would certainly be an inexpensive solution if it would work.
It might not be too late for it work for the current circumstances.
If your friend is going to do the traditional approach with institutional lenders and escrow companies, there may not be any way to do it when his wife is out of the country.
Certainly one thing to do is talk to some experienced escrow officers. They have seem many things and may be able to offer a solution.
Perhaps you friend will just have to plan better–time purchases when his wife is in state.
Good investing*************Ron Starr**************
Re: How can a friend of mine be free … - Posted by houserookie
Posted by houserookie on August 30, 2003 at 03:22:53:
Look into a business trust.
Have the business trust buy, sell, assign real estate contracts. As far as I know business trusts can elect to be taxed as deemed appropriate by trustee, beneficiary, or members. In my state, a one member trust is as valid and bullet proof as any.
The phrase one signature to buy and two to sell doesnt apply when one member business trusts come into play.
Im not an attorney so ask around.
Someone asked me a similar question the other day only this person wanted to invest but feared that his wife might take half in the event of a divorce. Don’t ask me why.
I told him to look into a business trust and I’ve yet to hear back from him.
Re: How can a friend of mine be free … - Posted by Brent_IL
Posted by Brent_IL on August 29, 2003 at 23:29:13:
This isn’t legal advice. Anyone can buy property in his or her own name. In California, it might be community property. It is my understanding that lenders require the quitclaim deed. Since your friend isn’t borrowing, he can put his wife on the deed after he buys it.
why would having a business trust be different from owning a corporation or llc? Couldn’t those also protect from divorce and allow investment with one signature?
He is borrowing the money. One’s wife is supposed to be more than a friend, not an obstacle. Now he’ll lose the escrow he loses and his wife too (how can a spouse do such a thing, she could sign the quit claim at the US consular office, but then her name won’t be on the deed so …) I feel so sorry for this man, he’s really a good man.