Personal Home Conversion to Rental

[Sarah Dudley]

I'm looking to purchase another home in the next year and want to turn my current home into a rental. What are some of items that I need to do for that? I want to put it into a LLC and I can set up the LLC but I wasn't sure how to get the property moved into it. Also do I need to do anything with the loan that I have on the place (It's a VA loan)?

[Dave Spooner]

@Sarah Dudley There's not much to it. You can simply file a quitclaim deed to move the title from your person to your LLC. You may want to check with your lender first though. If they have a "due on sale" clause, they could call due the entire balance of the loan at the time of transfer. It's very rare that this happens, but can certainly be catastrophic if it does.