Investor · Madison, AL · Member since 2013 · 93 posts · 28 votes
How do you submit a HUD bid if you want to take title in a land trust. I have an LLC to be trustree. Who is purchaser, ABC LLC as Trustree? And what suporting docs will HUD want? Thanks all!!
I wish someone would have answered this. There is a lot of info about how smart it is to hold property in a trust, but no info whatsoever on how to structure the actual taking of the title via the trust.
Rental Property Investor · TN · Member since 2018 · 2k+ posts · 2k+ votes
6y
I do not know how to do title with an LLC and a Trust, but can answer for how a Trust holds title in 2 states.
In Tennessee title is held as "Lynnette....., Trustee, Lynnette ….Trust"
In TN The name of the Trustee and the name of the Trust was used for title on the deed. A real person was identified.
In California Title was held as "Lynnette...Trust" In CA, Only the title of the Trust was used. The Trustee was not identified, the name of a person is not needed.
You are probably not getting answers because the answer is location specific. Some states require/like persons to be named, some are ok without a person being identified for Trusts.
For LLCs, I think you likely only need to use the LLC as it is registered. Trusts are not registered, there is no official record of who is who for a Trust.
Rental Property Investor · TN · Member since 2018 · 2k+ posts · 2k+ votes
6y
If you have the notarized information sheet for the Trust that is all HUD would need to title it under a Trust. If you do not have the information sheet, you would need to show you were the Trustee and authorized to buy real estate, etc. The Trust should have an authority / authorizations section, they usually want that. They can give you a list of what they need, but it should be in the one to two page information page that gets notarized when you first set up the trust. There likely are only 2 signature pages, that information sheet and the trust itself. The information page is so you do not have to haul out the entire trust for everything. And If you lost it, have you attorney do another historical one. Saves a lot of hassle setting up bank accounts, buying, selling, everything.
Broker/Flipper · Austin, TX · Member since 2013 · 4k+ posts · 4k+ votes
6y
Very simple to purchase via LLC or a Trust through HUD. They just require documentation as to who can sign for the LLC/Trust by providing them documentation such as the Articles or as stated earlier an Info sheet