3 ms·

I'm about to buy a house and I find it insane that I cannot prevent the County Deed Recorder from selling my data to services like Spokeo. I could set up an LL

I'm about to buy a house and I find it insane that I cannot prevent the County Deed Recorder from selling my data to services like Spokeo. I could set up an LLC and buy the house in that name but that requires cash, and I don't have that much cash. I could buy an aged LLC, move in cash and then get mortgage as the LLC but that is really extreme (and not sure if that's legal?). To add to that, services like PermissionSlip assume that you have 1 email address / finite set of email addresses where they send out requests to get your data deleted. That doesn't work for people who use <company-name>@<my-domain>.<tld>.

sneak 3y ago
The LLC can get a mortgage with you as the personal guarantor. The house is the security anyway. Then your name is only on the address in the bank’s records, provided you appoint a different manager of the LLC (the corporate records for managers, but not beneficial owners, is public).
- deleted 3y ago
  [deleted]
fulladder 3y ago
Setting up an LLC to own your home costs a few hundred bucks. You don't need any cash beyond filing fees and legal fees (if you use a lawyer). The bank will not care. Their loan agreement gives them the right to foreclose if the loan is not being repaid. The exact legal owner of the house isn't relevant. There is one issue to be aware of. If you own your home as an individual, you get a federal capital gains tax break when you sell (the first $250,000 of gains is exempted from tax). If an LLC owns the home, there is no tax break and all of your gains are taxable. This is the real reason why only wealthy people put their homes into LLCs. If you have a $40 million house, this tax break is not particularly meaningful. If you have a $400,000 house, it is very meaningful. (Consult with your accountant; this is not tax advice.)

3 ms·

I'm about to buy a house and I find it insane that I cannot prevent the County Deed Recorder from selling my data to services like Spokeo. I could set up an LL

by WirelessGigabit 3y ago

sneak 3y ago
The LLC can get a mortgage with you as the personal guarantor. The house is the security anyway. Then your name is only on the address in the bank’s records, provided you appoint a different manager of the LLC (the corporate records for managers, but not beneficial owners, is public).
- deleted 3y ago
  [deleted]
fulladder 3y ago
Setting up an LLC to own your home costs a few hundred bucks. You don't need any cash beyond filing fees and legal fees (if you use a lawyer). The bank will not care. Their loan agreement gives them the right to foreclose if the loan is not being repaid. The exact legal owner of the house isn't relevant. There is one issue to be aware of. If you own your home as an individual, you get a federal capital gains tax break when you sell (the first $250,000 of gains is exempted from tax). If an LLC owns the home, there is no tax break and all of your gains are taxable. This is the real reason why only wealthy people put their homes into LLCs. If you have a $40 million house, this tax break is not particularly meaningful. If you have a $400,000 house, it is very meaningful. (Consult with your accountant; this is not tax advice.)