I currently purchased a property (cash). The tiltle is in my name. What is the easiest way to transfer it to my LLC. I should have done this before closing but with everything going on & my lack of experience I slipped.
Please let me know. BTW this forum ROCKS!!
Not sure of the specific laws in NY, but in Ohio it is simply a matter of filing a Quit Claim Deed. I went through a title company and it was very simple (actually did a couple properties at once...charged me $125 total). Make sure you let your insurance company know the property has transfered.
It depends. If you purchased an REO, make sure that you are allowed to transfer the title before considering a quitclaim. Some REO's have deed restrictions against transferring title within 90days of close of escrow.
Thanks Sam & Kim. The property is in NJ and it was a REO. I will look into a quick claim deed.
While a quit claim will certainly handle the legal aspects of the deed transfer, it may not be the best legal vehicle by which to convey title and it also doesn't address the accounting implications of transferring the property from your personal name to a business entity. Depending on the valuation when you purchased and when you transferred, there could be some tax implications of just quit claiming the property to your entity.
I would recommend talking to both an attorney and a CPA to ensure that you're covered, both from a legal and from an accounting/tax perspective.
J. Scott thanks for the information because I had the same question as Raza, and thanks to the other fellow BPs.
A Quit Claim Deed is the quickest way to do the transfer, but let me give you some advice - make sure it is done correctly. I had a client who is in the process of selling their house. They have a buyer and everything was ready to go until they found a problem in the chain of title.
When the father of the property QC it to his daughters, they made an error in the document. They recorded another QC that corrected that problem but then they made in error in the legal description. Sad to say, after 2 months they are no closer to a solution since the previous owner has died and now all heirs to the estate must be contacted. The closing was cancelled.
What may seem simple can get really complicated fast. Just make sure the person that fills out the form and records it knows what they are doing and that you have legal recourse if they mess it up.
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