Quit Claim to LLC - Posted by Chantal

Posted by Rich-CA on April 20, 2007 at 23:36:33:

You would use the LLC to help shield your other assets (such as your primary residence) from loss in a lawsuit. That coupled with adequate liability insurance is best you can do to protect you other assets.

The down side: Q/C to an LLC violates the standard clause in a conforming loan called the Due On Sale clause. I have never heard of a bank calling a note due as a result of this, but they could.

Quit Claim to LLC - Posted by Chantal

Posted by Chantal on April 17, 2007 at 22:11:58:

Hi thereā€¦

My husband and I live in California, but we own 2 investment properties in Texas in his name only. We have an S-Corp and an LLC that we just formed because we are intending to invest in more properties.

My question is, should we Quit Claim the 2 texas homes to the LLC? If so, why?

Thanks so much!

Re: Quit Claim to LLC - Posted by andre

Posted by andre on April 23, 2007 at 16:59:05:

He all,
Is it better to put the property in a land trust having the llc as the beneficiary?