Quit Claim Deed Or Trust?
A partner and myself had bought a duplex about 4 months ago, after living there and rehabbing it weve decided to rent out both units and move elsewhere,,, We set up an LLC but i have a few concerns. Ive heard different answers to this question so I was l looking for opinions... Should I quit claim deed the prop into the LLC or set up a land trust naming the LLC as beneficiary, ? Also when tenants come in should we sign our names or the LLC 's name on the lease..? I know my homeowners policy will change from owner occ to rental and Im wondering if the LLC should now be named on that as well, thanks in advance
LLC is for asset protection
Trust if for privacy
You can use either only or both
Either way you should WARRANTY DEED the property over to either the trust or LLC.
You should open up a new bank account if you use an LLC.
You should sign the leases, etc as John Doe, trustee or John Doe, manager depending on what you need.
The LLC or TRUST should be named 1st insured with the mortgagee on there as well.
Does this answer your questions? Always consult professionals when dealing with these types of issues. They are worth their cost tenfold!
yes that helps thank you