Hi From Florida
I know this question in some form or another gets asked frequently but I haven't found the answer I'm looking for so I figured I'd just ask it. I'm looking to get my first property soon and I want to put it in a C Corp. I want to do this for two reasons: one is liability protection I have a business partner that has a decent net worth and a lot to protect and it would be good to shield her in this business. Secondly I don't want the income to be in my name. I have a reason for this, its not nefarious or illegal, I just want to keep the money in the business and don't want it on my personal tax return. So the question is how to get it there. I know I can't just simply transfer it because that would trigger the due on sale clause. Would any mortgage lender allow an already existing corporation purchase the property with a personal guarantee from my self and my business partner? would the personal guarantee for the note then make us more liable for any lawsuits that could arise from the property?
Any advise would be great. Thanks BP Community
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you