Legal Question in Real Estate Law in Virginia
investment property/asset protection
I have an investment property. The property is recorded in me and my husband's name as tenancy by the entirety. We set up a LLC in Virgina. How do we protect our assets?
1. I hear about putting property into trust where LLC is beneficiary. Is this wise? HOW DO I DO THIS? What are the risks? Will this hurt me when I decide to sell the property? Does the trust assignement need to be recorded? Is this different than a land trust? Can my lender drop me for doing this? Are there forms I can find in a form book to do this?
2. Should I just tranfer ownerhsip into a trust and use a warranty deed? HOW DO I DO THIS? What are the risks? Will this hurt me when I decide to sell the property? Can my lender drop me for doing this? Are there forms I can find in a form book to do this?
3. Please walk me through what I need to do to protect myself.
What about my insurance? Do I have to switch my insurance to be in the name of the trust or the LLC? Which one?
2 Answers from Attorneys
Re: investment property/asset protection
Wow! Lot of questions. Can't give you legal advice over the internet. I will say that usually lenders can drop you pursuant to the terms of the Deed of Trust - but they often don't. I will also note that the most important issue is determining what are you trying to accomplish. Asset protection from creditors? Estate planning? Tax planning? All three? Something else? Feel free to phone.
Tom Dunlap 703-777-7319
Disclaimer - Dunlap & Grubb P.C. does not and will not represent you until you have signed a written retainer agreement. Any information or response to an your inquiry should not be relied upon and is not legal advice, unless such information or response explicitly states it may be relied upon and further explicitly states Dunlap & Grubb has agreed to enter into an attorney client relationship with you. For information please call 703-777-7319.
Re: investment property/asset protection
Unless you and your husband have very substantial family assets, setting up an LLC for these assets may very well not be the best route to go in your situation, particularly when you haven't even identified what could be putting these assets at such risk that they might need the type of protection afforded by an LLC.
If all you and your husband have in your investment portfolio is the one property jointly held by the entireties, this manner of jointly holding title may afford you all the protection that you really need for this particular asset and setting up an LLC is mere overkill for your particular investment situation.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
