All Forum Posts by: Isha Suri

1) Although the property is owned in my personal name, I can still conduct business (lease agreements, etc) in the name of my LLC. Such formalities as a lease agreement between myself personally and my LLC are not needed. If youve already made lease agreements in LLC name, doesn't sound like you need to do anything additional.

2) Conducting lease agreements in the name of my LLC while owning the building personally still exposes me personally to potential liability. In my case, I don't have significant personal assets and have a strong insurance policy so this is not of major concern. To reduce/eliminate exposure of my personal assets, I would need to own the property in the LLC and conduct all business through the same. If you have the ability to move property into LLC, seems like that would be beneficial.

If you used something like Fannie Mae financing to purchase, however, and are going to transfer to LLC, keep in mind that to refinance using similar agency financing in a couple years, you might have to transfer *back* to your personal name. May not be worth the effort.

3) If your LLC is setup to be taxed as a disregarded entity, then there shouldn't be any concerns receiving rental income in either name - it should all flow through to your personal return either way.

Thanks Joshua for a detailed answer. I was reading somewhere that if a property gets transferred, it needs to be reassessed which can increase the property taxes. Do you have any info on it?

Regarding the insurance, which company are you using?

Also pardon me if I am asking me too many questions, Its just I am doing it first time, what is a disregarded entity?

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I believe there is no provision for assignment in the lease. The rent will be account transferred. I am using a rental portal where tenant will do ACH.

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@Ronald Rohde - Thanks for your reply. I have actually signed the lease with LLC name on it. Should I do a name change amendment to correct the lease???

@Natalie Kolodij - Thanks for mentioning. I didnt know that taxes gets worse if my LLC becomes property manager. I will discuss it with my tax person.

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I went to following website and did everything step by step as it was explained here.

https://www.llcuniversity.com/...

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Make sense. Thanks Greg for your reply. How much Renter Insurance is generally advisable. Should the insurance liability value be equal to property value?

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Thank you for your reply. As the lease is already signed, how do I amend it?

Someone suggested me here in forum that I can create a property management agreement between me and my LLC. I think this is also a great idea.

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Wow.. that's a smart idea. Thank for for sharing it. Based on this idea, my assumption is that I should not transfer my house to LLC. If tenant ever plans to sue, they will sue LLC. Since LLC doesn't has any property under it, the house will be protected.

Does this assumption sounds true?? Not sure that it can be this easy.

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Hello Everyone

I have to move out of my house due to job reasons. I am planning to rent my house. The house is on mine and my husband's name. I created a LLC with me being the only member on Sep 21st. I created the rental lease with my LLC and tenant on Sep 27th. I am planning to transfer my house to my LLC but it make take some days.

My question is that as the house is still under my and my husband's name and rental lease agreement is with tenant and LLC, so will my lease be still valid and legal??

Appreciate your reply.

Thank you

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Hello Everyone

My question is that as the house is still under my and my husband's name and rental lease agreement is with tenant and LLC, so will my lease be still valid and legal??

Appreciate your reply.

Thank you

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All Forum Posts by: Isha Suri

Isha Suri has started 2 posts and replied 9 times.

Post: Lease Agreement With Tenant and a LLC

Post: Lease Agreement With Tenant and a LLC

Post: Lease Agreement With Tenant and a LLC

Post: Lease Agreement With Tenant and a LLC

Post: Lease Agreement With Tenant and a LLC

Post: Rental Lease Agreement with LLC

Post: Lease Agreement With Tenant and a LLC

Post: Lease Agreement With Tenant and a LLC

Post: Rental Lease Agreement with LLC