Option 1:Pros:Simplicity: You avoid the potential complications of alerting the lender.Maintains Low-Interest Rate: Since your loan is at 3%, you continue benefiting from this favorable rate.Avoids Immediate Full Payment: You won’t be forced to come up with $45k immediately.Cons:Risk of Detection: If the lender identifies the payments coming from an LLC, they might call the loan due.Potential Consequences: If the lender enforces the due on sale clause, you might be forced to pay the remaining loan balance quickly.Option 2:Pros:Transparency: Being upfront might build trust with the lender.Possible Flexibility: Given your solid payment history, the lender might agree to the arrangement.Legal Compliance: You avoid any potential issues with violating the terms of your mortgage agreement.Cons:Risk of Loan Acceleration: The lender could still decide to call the loan due, forcing you to pay the remaining balance.Potential for Higher Payments: If forced to refinance, you might end up with a higher interest rate.Given the pros and cons of each option, but a cautious approach might be best:Consult a Real Estate Attorney: This can give you a clear understanding of your legal standing and potential risks.Evaluate the Importance of the 3% Rate: Weigh the benefits of keeping your low-interest rate against the risks of potentially having to pay off the loan early.Consider a Gradual Transition: This method allows you to continue benefiting from the low-interest rate while reducing the risk of triggering the due on sale clause.

In most cases, neither is warranted.Warning: I am not an attorney, and this can be a complicated topic.

It would also complicate your depreciation by doing this.

We are going from a pretty normal living situation, to a MUCH more complicated one, and we'd LOVE your advice.

That complicates the decision. 

Getting the foreign tax credits is complicated and they are not dollar for dollar credits.

I have failed with the google docs method and my last time tracker was too complicated for that I needed.

There's some complicated ways around it and things may have improved, but I can tell you that I was personally threatened with being charged with a felony in 2019 for renting my property even though I had gone through the proper permitting.

A little bit about me, I lived in a small town near the greater Boston area for the past 10 years and had just moved to O'ahu to pursue my Masters in Architecture, (but that's kind of on hold right now due to complication of the program...).

They have too many roofs, too many lawns and driveways, too many complications, and are hard to liquidate.