Can I lease to my own LLC?

[Account Closed]

I have a rental property in Colorado and have created a Colorado LLC to hold it. However, I bought the property under my own name and have a small mortgage under my name. The mortgage company won't let me tranfer itle to the home to the LLC with the mortgage in my name. I could pay off the mortgage, but that would leave me more cash poor than I care to be. A friend suggested that I lease the property to my LLC (it's a single member) and that would give me the legal umbrella of the LLC and still keep the mortgage company happy. Anybody ever done this or heard of it being done? Thanks.

[Ebere Okoye]

Usually, the mortgage company will not let you transfer the title without trigerring the due on sale clause. I have usually just transferred without getting them involved and as long as the mortgage is being paid, then you are fine. Going on almost 10 years of my properties being in an LLC still with a mortgage in my name.

Not sure how leasing gives you protection when it still shows your name.