Doing business under an LLC

[Tony Sierra]

I was speaking to a friend who owns a few single family rentals. He has an LLC for his business but he stated that he does not have his properties in the LLC, he financed them and holds them in his name. I hear all about the LLC issue, due on sale clause etc. Can someone shed some light on this for me? I have read about this issue and used the search function but I am still confused. I get that moving your properties to an LLC can potentially violate the due on sale clause. What about holding your properties in your personal name and doing business through an LLC?

[Charles Washington]

Most lenders have a due on sale clause if you try to deed single family homes in an LLC. I have heard of investors who set up Property Management companies under an LLC and manage their properties that way.