Moving Properties Under LLC in Phila. Pa

[Geo Johnson]

Hello all,

My father is preparing for retirement and is beginning to organize his RE investments for when he's no longer here (not for many years prayerfully). He has purchased his properties over 25 years, but all have been in his name and not his LLC, because he had issues getting financing under the company. Now as he looks to retire, he wants to move them into the LLC for more control from a legal stand point and has heard that the title transfer rules have changed in Philadelphia:

“Regardless of ownership, when a title changes hands, sales tax on the “value of the property” must be paid by the new title holder.”

Is there anyone in the Philadelphia market that can verify this rule? Or any RE lawyers that can provide some guidance on how to avoid this if true? Any assistance would be greatly appreciated.

Geo

[Joe White]

@Chris K. is a very helpful resource on this and he might add value here. Personally, I rely upon an umbrella insurance policy. I feel that offers me protection and allows me to fully maneuver.

Transferring into an LLC, comes with Transfer Tax, I believe. And that really can be a blow.