[MO] Can I transfer property to an LLC with a quitclaim deed?
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I'm so sorry about this situation! I want to address your situation with a detailed response, so if you have any questions, don’t hesitate to ask, because this law stuff can get complicated.
The short answer? Yes, you can quit-claim the deed into your Missouri LLC even if there's a mortgage, but the lender may consider that a breach of your loan terms. Most mortgages have a "due-on-sale" clause, meaning transferring title without the lender’s consent could trigger the full balance becoming due. While lenders don’t always enforce this clause, it’s a risk you should know about. It’s smart to contact your lender first or get written permission before transferring to the LLC.
Does that help clarify things? I want to make sure I didn’t leave anything out.
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I have a Missouri LLC. I need to quit-claim the deed of a property that my wife and I own to the Missouri LLC. Can you tell me how we can do this?
I understand that transferring property into your LLC can be a complex process. Have you already consulted with a lawyer about this transfer?
No
Is the property currently held solely in your names, or are there any other owners involved?
Yes, it is held solely in our names.
Is there anything else the Lawyer should know before I connect you? Rest assured they’ll be able to help with transferring the property into your Missouri LLC.
Nothing else.
Hello! Legal Eagle here, and I am an attorney specializing in your area of law. I am more than happy to help you with your situation!
Is there an existing mortgage or lien on the property that might affect the transfer to the LLC?
Yes there is a mortgage on the property. We would like the mortgage to stay in our names but to Quit claim the deed into the LLC.
Is that possible?
Ok! Did you need to tell me anything else? If not, I can start with answering your question.
Nothing else, that is all.
Ok! I just need a little time to draft up a high-quality answer. I'll be with you as soon as possible. It won't be terribly long, ok?
I'm so sorry about this situation! I want to address your situation with a detailed response, so if you have any questions, don’t hesitate to ask, because this law stuff can get complicated.
The short answer? Yes, you can quit-claim the deed into your Missouri LLC even if there's a mortgage, but the lender may consider that a breach of your loan terms. Most mortgages have a "due-on-sale" clause, meaning transferring title without the lender’s consent could trigger the full balance becoming due. While lenders don’t always enforce this clause, it’s a risk you should know about. It’s smart to contact your lender first or get written permission before transferring to the LLC.
Does that help clarify things? I want to make sure I didn’t leave anything out.
Okay I appreciate the recommendation. I will call the lender in the next few minutes to confirm. Once I confirm, will you be able to provide the forms or next steps for my wife and I to complete?
Sure thing! Once you confirm with the lender, the next step is to prepare a quit claim deed transferring the property from you and your wife to your LLC. You’ll need to have the deed properly signed, notarized, and then filed with the county recorder where the property is located.
Okay I am calling them now.
For sure! Did I thoroughly address your question? Did I provide top-tier service to you? If the answer is no to either, please let me know so I can help!
Absolutely!
I have another question: Do I need to quit-claim the deed to the LLC?
Sure thing! If your goal is to have the LLC legally own the property, then yes, you need to quit-claim the deed into the LLC.
Just forming the LLC doesn’t transfer ownership because you have to record a new deed showing the LLC as the owner. This is what legally ties the property to the business.
okay thank you
Can the deed remain in our current name while having the LLC fully protect the property?
You're welcome! No, the deed must be in the LLC’s name for the LLC to fully protect the property from personal liability. As long as the deed is in your personal names, the property is not legally owned by the LLC and won’t get the full liability shield.
Okay will do, thank you.
For sure! I want to ensure you feel completely satisfied with our conversation. Were there any details I missed? Did you have any concerns about this issue that still need to be addressed? I'm happy to help.
No you covered everything, thanks for your help!
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