All Forum Posts by: Alis B.

Great question - because of the nature of his business equipment, I'd rather not have the equipment and in the unfortunate event he defaults, it makes the most sense for another to remove it.  He has been renting for a year with never a late payment. If he is late paying rent, then I am to notify the first lender - so in addition to having landlord rights on my side, I have the lender too. Thankfully that has not been an issue.

OK this has to do with first lender getting first rights and then before I sign to allow second lender to obtain said collateral, the second lender needs to be the subordinate. I'm turning over the leg work to my renter as this is his finances and I'm just responsible for the end game. I hope this helps another renter/landlord.

My commercial renter is now acquiring another loan and the company is asking for me (landlord) to let them obtain said equipment in the event of default. But, the list of equipment is the exact same that was on a previous lender's paperwork that I OKd' back in September. 

I have not been faced with this before and am researching my obligations - any experience out there with this one?

At one point the renter mentioned that it's a consolidated loan but it's vague and before I go further I need to know what my obligations are.

Thank you Bill - I very much appreciate your reply

I don't quite remember if the building was there in 02 or not

originally prop was my inlaws and in 02 property was transferred to my husband and me. During that transfer a survey was done. I need to go back and see if the building was on that survey. The building was built (out in country so we built slowly using personal finances) over time and for sure this year when we did quit claim, the building existed during time of transfer from personal to holdings.

Thank you Jeff - I think I'll start with a title agent. I hadn't thought of going that route. 

The building in question is a 2300sqft immobile structure and was there well before the transfer, we are looking to make sure that the building is legally owned by the holding company.  

For liability reasons, we want to make sure the building is undeniably property of the holding company. 

For tax reasons, we want to make sure the holding company is able to have write offs for improvements etc.

We live in Texas. Earlier this year we transferred commercial property out of our (husband and my) names and into a holding company's name. 

The existing  building (dims or other specifics) were not specifically mentioned on the Quit Claim Deed other than "tenements, hereditaments, and appurtenances thereto belonging, or in anywise appertaining, to said premises"

For tax and liability reasons, we want the building to also be property of the holding company, and not just the land it sits on.

How iron clad is a quitclaim deed (with the above general terms yet no specific description, to prove that neither the land or the building are in our personal names anymore?

Hello Brad - I'm in central TX & am rather new to residential rentals as well. We have set up a LLC holding company that will purchase our rentals. Yes, if we need a loan it will be considered a commercial loan and an ARM (ouch on higher rates), but this way liability rests with the holding company and not directly on us as individuals.

What types of companies were you looking at?

I am reading up on TX landlord/tenant laws and something caught me off guard. I can't seem to find a clear answer: If a family is renting my SFH and then a registered sex offender moves into neighboring home, can my renters legally break lease and move (for reason of proximity of offender)?

Have any landlords been in this or similar situation?