I have an elderly mother that my wife and I are caring for, so last year we moved into her home and started to renovate it. We planned to buy a new home at first but decided to fix my mothers home up, purchase a new home where we all would live and rent out the newly renovated home.
My mother wants to add us to the deed so, I wanted to know if my wife and I formed an LLC would we be able to add it to the
Deed or would it have to be added in our names only? The home currently has a mortgage so I know that may pose an issue with the
If this is a Maryland property and you simply add the LLC to title you will be charged state and local transfer and recordation taxes bases upon 50% of the assessed value of the property. Doing this would also eliminate the numerous benefits of the property being considered a primary residence.
If the property is subject to a mortgage, you could instead add you and your wife individually and that transfer (if the deed was properly prepared) would be exempt from state transfer and recordation taxes. Depending on where the property is located such a transfer might also be exempt from local transfer taxes.
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