Transfer Rental to LLC or Trust / LLC Funds
Hi BP Family,
I currently own 5 units (2 properties) in my personal name. The duplex was bought with an FHA loan and 3 unit was conventional financing.
I started an LLC to begin transferring them to the LLC but my banks aren't allowing that. I've heard transferring them to a trust. Has anyone had any experience doing this? I currently have mortgages with US bank and M&T bank.
My second question, if I am unable to transfer the properties to the LLC, am I able to collect the rents in a business bank account so I can begin building business history and credit and pay bills from this account? I do not need these funds and only plan to reinvest the funds in the future.
appreciate all of the help and insight ahead of time, thanks!
Following to see what others have to say as I am in a similar situation except I am using owner financing which makes it a bit different.
However I also opened up business accounts/cards and am currently using them to help build business creditworthiness with the bank to facilitate future deals.
You can try transferring to a land trust where you are the initial beneficiary. Then in a second time, assign the beneficial interest to the LLC.
@Mike S. Thanks for the insight Mike, I’ll start digging into that now!