The reason I for mean is what if there is problems with encumberances that have come up since the recording of the instrument your buying..

An equitable beneficiary interest in a trust is a note, a valuable exchangeable instrument.

LLC is just a fine vehicle just not the asset protection vehicle that many think it is.Asset protection for multi millions in TRUE equity is done with a combination of all these instruments and usually will cost you 25 to 40k to set up with any hope of really sheltering yourself.. 

Recorded instruments affecting title are missed multiple times a day every day. 

"(b) Due-on-sale clause means a contract provision which authorizes the lender, at its option, to declare immediately due and payable sums secured by the lender's security instrument upon a sale of transfer of all or any part of the real property securing the loan without the lender's prior written consent.

Surrounding myself with RE savvy folks was instrumental. 

Is there a way to pay him $270k "on paper" so he doesn't get hit with a long term capital gains tax at 15% and then pay him the remaining balance of $180k over time through a consulting agreement or other instrument where he would avoid the tax. 

or is a HELOC possible given I am not on the security instrument?

As far as a quitclaim deed, that is an instrument that's used to transfer all rights and interest that an owner has in a property to another party. 

The default rule is that all securities must be registered, unless the issuer (you), the security, or the investor qualifies for an exception or exemption.Federal regulations cover the security side (PPM, syndication, issuing securities), but the state laws determine the local instruments (notes, deeds, lien instruments, entities).Even the lightest capital raise starts, for me, at a $10,000 retainer and can climb to $50K+ depending on how involved I have to get.