Forming A Land Trust
We are landlords of a rental property and have just formed an LLC. We would like to deed the property to a Land Trust and make the LLC the beneficiary, however, our lawyer is inexperienced with these types of transactions... Any guidance on what the process is and what costs are involved? Can we do it ourselves, and if we need a different lawyer, any recommendations in NY State? Thanks in advance.
Yes it can be done, and yes you could do it yourself.
You create a Trust with yourself as beneficiary.
You transfer your property to the Trust using a so-called Warranty Deed to Trustee, and that is the document that is filed.
As you are the beneficiary of the Trust, you can then assign your beneficial ownership to your LLC.
There's plenty of packages available outlining the proper procedures and forms, but I recommend that you shop around for a RE Attorney to help you with your first one.
Hope this gets you going.
[addsig]
Research and find the nearest rei club in local area (also, check the groups link on the website). Network with members about a good re lawyer. Most of the time, re lawyers are members and will attend the monthly meetings searching for new prospects such as your self. thanks. happy investing.
[addsig]
I don't know NY law's or proceedures. In my neck of the woods it's 2 documents (I think) and $10 filing fee.
Call a couple of title companies. They can probably help you out.
Once you have the right paperwork in hand it's a cinch.
It is simple. Form trust with LLC as benificary. Get standard warranty deed from Office Depot and fill in the blanks making trust the owner of property. Record deeds. No need to record Trust agreement
Good LUCK and Thank You
Hope this helps some
Ted Jr