NJ non-resident exit tax of 2%

[Dan Tustin]

Hello BiggerPockets community,

I have my first investment property under contract to sell and close in early January. I purchased the property initially under my name as it was a HomePath investor loan which prohibits lending directly to LLCs. My LLC is registered in NJ, but my personal residence is out of state now making me subject to NJ's 2% exit tax for non-resident real estate investors.

Does anyone out there have any experience having a title company disburse the proceeds of the transaction to an entity other than the name on the mortgage? Ideally, after mortgage pay-off all remaining proceeds would go to my LLC. I have received some push back as the title company would prefer the proceeds to go directly to me as the mortgage is in my name.

Would appreciate any advice or tips in handling this matter. Thanks!