All Forum Posts by: Mike Stephenson

I have an investment property that I was going to flip but now plan on selling to my parents. This property is owned by my LLC. Thoughts on the best way to transfer the property. The plan is to sell at 80% of the fair market value, as I will retain a 20% equity stake. Should we form a new LLC where my parents are 80/20 owners? The home is currently owned free and clear, and my parents plan on paying cash for the 80% equity. I would like to limit my tax exposure on the sale where I can, but would also want my parents to be able to take advantage of the primary residence for tax exclusion if they sell. Are there other options that I should talk with my tax/legal person with?

In regards to using an LLC, does anyone have experience insuring under and LLC to separate personal and LLC claims? Currently having my rental under my personal policy means that claims on my rental property show up on the CLUE report.