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Updated almost 8 years ago,

User Stats

1,305
Posts
525
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Mark S.
Pro Member
  • Rental Property Investor
  • Kentucky
525
Votes |
1,305
Posts

Avoiding Commingling Funds: Personal to LLC Account

Mark S.
Pro Member
  • Rental Property Investor
  • Kentucky
Posted
I'm listening to a Podcast that has someone from Ridge Lending Group on there and it was said that as long as someone has a single member LLC that they own 100% (or if husband/wife each own 50% of multiple member LLC) and they do a quit claim deed to the LLC for asset protection, that this is allowed (which implies the due-on-sale clause would not apply). I thought this to be interesting point (which I've seen debated on BP). Let's say the above is true and we're not worried about the due-on-sale clause. When it comes to continuing to make the payments on the loan, would you simply switch over making mortgage payments from personal account to LLC account? Is there any sort of "grace period" so that this isn't viewed as commingling funds?
  • Mark S.