Hello,

I've read alot the dos/don'ts of transferring property to an LLC. Most reasons center around liability. I've been running a property management business for nearly 20 years. All monies flow through the business bank accounts BUT the properties have never themselves been an LLC. I don't make alot. I have no 401K plans or, for that matter, any other retirement plans. My rentals ARE my retirement plan. I work at them full time. However, as my children have grown older and we are faced with college expenses for possibly the next 12 years (six children), I've learned that according to financial aid regs, 5% of my personal assets AND (of course) a portion of our gross income... count towards our "family contribution." I have no problem contributing everything we can. However, based upon the value of the rentals and the fact that we would have to contribute 5% per year for the next 12 years or so...would force us to HAVE to sell properties to come up with the 5% of the assets we need to contribute AND it would also reduce my income becasue we would slowly lose the assets from which the income is derived...so a double whammy. The exception to this is if the rentals themselves are actually IN A BUSINESS NAME (the small business exclusion). So, since the reaons are different, is there any way to accomplish this? (We can't afford to pay them off in case of a due on sale.) Or, would it be allowed for "estate planning" purposes? Some are through Bank of America, one through Citifinancial, and others through Northstart Mortgage.