Posted by WAREIA on March 28, 2006 at 22:44:37:
In a Properly formed Title Holding Land Trust the title is deeded to the Trustee not the Trust. The Trustee should be a Corporation licenced and bonded and in the sole business of holding title for the benefit of it’s members.
A THLT is a soley Beneficiary Directed Trust so be very careful who and how you name Beneficiaries.
There are also maximum time limits a properties title may be vested with a Trustee in a Land Trust.
Out of State LLC & Land Trust - Posted by docniss
Posted by docniss on March 28, 2006 at 15:33:00:
So although I have a LLC (I live in Indiana and have a Nevada LLC), right now my 5 properties are held in my name as well as my hubby’s name personally. I want to set up a land trust, do I need to do so in Nevada or can I do that in my home state? I do have Indiana EIN#. I want to do this ASAP as holding these properties personally is making me nervous. It has been a while since I’ve been here, but have learned a lot in the past. I really didn’t see anything in the archives that addressed this dual state thing, and maybe it is a non issue. I understand B.B.'s course is good and I will buy it if I know it will be simple to do in my situation otherwise I would consider having my atty do the work.
Thanks in advance for feedback
docniss
Re: Out of State LLC & Land Trust - Posted by Ken
Posted by Ken on March 28, 2006 at 18:23:26:
Why don’t you put the property in the LLC. Also if you have a corp from Nevada i would think your EIN number would be from Nevada
Re: Out of State LLC & Land Trust - Posted by dutch
Posted by dutch on March 28, 2006 at 15:59:13:
buy Bronchicks course, it’s about the price of 1 hour with an attorney. And it will answer all your questions.
A trust is a private document, not tied to a state. The property can be in one state, the trustee in another state, and the beneficiaries can be in one or multiple places.
Trusts don’t have anything to do with EIN numbers.
What you WILL have to do is deed the property to the trust. THAT is done wherever the property is.
Dutch
Re: Out of State LLC & Land Trust - Posted by docniss
Posted by docniss on March 29, 2006 at 07:28:00:
Well, because I have 5 properties right now and if there is ever any litigation and I lose than the person that prevails gets all 5 of my houses. I know a land trust for each house is ideal and then I can put the houses into the LLC by what I understand this would also not affect the DOS clause. If I put the houses directly into the LLC’s then the bank would likely call the loan.
Re: Out of State LLC & Land Trust - Posted by Rich
Posted by Rich on March 28, 2006 at 21:51:13:
I did this and my lender freaked. I then read (not took anyone’s word, but read) my Due On Sale clause and it does villate the contract. Since I’m invested in areas with computerized recording, its easy for lenders to sift the data to make sure such changes in title do not occur. This is automatic as I found after a long talk with the “assumption dept.” as Wells. That is because your mortgage is “with recourse” which means if the house value drops below what you owe and you default, they can get a judgement against your other assets for the difference.
Re: Out of State LLC & Land Trust - Posted by docniss
Posted by docniss on March 29, 2006 at 07:29:06:
Thanks Dutch, I am going to order the course right now.