Lender Will Not Allow an LLC

[Justin Paradis]

Hi, all,

I own a condo that was once my primary residence and is now a rental property. I still have residential mortgage on the property at 3.75% I would like to place it in an LLC for some personal protection from litigation. However, the lender on the mortgage will not permit me to do so.

I would be most appreciative if somebody could provide a little insight to some of my options. Are there any strategies I can use to get my current to agree to this? Right now I'm thinking I may have to refinance with a lender that will allow me to place the condo in an LLC. I know this will come with a higher interest rate so it will result in some cash flow erosion, but I'm thinking it makes sense to pay a bit more for the protection?

Thanks in advance for any insight.