Posted on: 13th Oct, 2008 09:08 am
a good friend has a couple of rental properties in his own name - he is getting married soon and wants to put the properties into a llc - for asset protection as well as keeping them out of the marriage rights (community property state). will he have to refinance the property in order that they mortgage is in the name of the business or it will still be in his name and therefore he will be responsible and give others right to make claims against the properties should there be any problems in the future?
Hi Grace!
Welcome to forums!
Generally lenders do not agree to give mortgage in another person's name. They will always prefer if you sign the papers. Moreover, it will be the lender's discretion whether he will refinance the property or not. If others have claim to the property, they can demand their share in the property. You should first consult your lender and a legal adviser for this.
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
Generally lenders do not agree to give mortgage in another person's name. They will always prefer if you sign the papers. Moreover, it will be the lender's discretion whether he will refinance the property or not. If others have claim to the property, they can demand their share in the property. You should first consult your lender and a legal adviser for this.
Feel free to ask if you have further queries.
Sussane
Hi Grace,
Lenders do not easily give loans for LLC properties. You will have to consult some lenders first to know who all are willing to give you loan. I think your friend will require to refinance the mortgage.
Thanks.
Lenders do not easily give loans for LLC properties. You will have to consult some lenders first to know who all are willing to give you loan. I think your friend will require to refinance the mortgage.
Thanks.