Homeowner · Houston, TX · Member since 2011 · 15 posts · 0 votes
Has anyone ever changed the name of the buyer from an individual to a company the individual owns after execution of the contract? All happening of course before closing.
Example:
John Smith is buying 123 Easy Street
Bank addendum is submitted before closing to change to
Investment Company LLC (which John Smith is a partner of) is buying 123 Easy Streeet
The seller is BOA (not short-sale), we are paying cash for the property and in this situation right now. My agent swears by this method as it gets the offer looked at more than a LLC offer. I keep pestering her for this addendum as it's the first property we have purchased. I trust her, but don't like that it's 5 days from clsoing and the offer is still in my name and not the company.
Why not change title after close of escrow? For most places, it's a simple Quit Claim and Transfer taxes usually are not needed if you can prove that the person owns the LLC solely.
Sounds like an REO. I seriously doubt the bank will allow a name change once the offer has been accepted. Most banks stipulate you can't assign or change the buyer.
Agent is telling me the bank won't do it before closing due to lawsuits. So to echo what Andy said she wants to deed it back to the company after closing. I am a 50% owner with one other member though.
I changed from an LLC to a land trust owned by a different LLC. This was a short sale by BofA. Had to provide trust docs but BofA seems to be lightening up on its previous craziness.
Simplest seems to be just to use the clause vesting to be determined in escrow. I never had a lender in escrow with me already say you can't do that, and besides the contract says I can.
I hate to say it but I think she is covering up the lie she told you the first time.
Yes, and if it's five days to close,closing documents could have ink drying and you can't change those with an addendum and no one wants to redo them, so expect to go to closing in your name, IMO.
As to changing it later on, using a quit claim will weaken the chain of title, better to use a Special Warranty Deed subject to existing financing