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Updated about 7 years ago,
Land Trusts and how it relates to LLC/Due on Sale clause
So I’ve read a lot on here about folks inquiring on LLC’s for their rental property’s to obtain asset protection. The main problem I see associated with this and the main reason people seem to shy away from it it the horrendous “DUE ON SALE” clause.
I’m hacking away at my REA class and I come up on Land Trusts. Apparently you can put your Real Estate/Investments in a Land Trust and then assign them to an LLC without raising red flags. I’ve learned that banks cannot trigger the clause due to it being in a Land Trust.
Certainly I can’t be the first to stumble upon this and link the connection with BP?
Has anyone done this? Input? Pros,Cons?