What do you do when you have a listing coming to the market but the owner is in an LLC? Does anything change? How does the sale work?
We can help.
When a property is in an LLC, it means that the business is holding the title to the property. While the sale isn’t too different from a traditional owner sale, there are quite a few documents we will request in the transaction. So it is prudent to make sure you let your seller know ahead of time what documents to collect for clearing the title.
We will need:
- A copy of the Operating Agreement
- A copy of the Articles of Organization (signing Authorization)
- EIN # for LLC
- Proceeds Disbursement Authorization
On our end with the title, we will verify that the LLC is in good standing with the state.
When writing the contract of sale, be sure to have the seller as the name of the LLC and the signatures to be “*Name of LLC by Name of Signer*” and their member status. For example, Advantage Title LLC by Jessica Scott, Member.
And there you have it! Selling a property in an LLC is easy! If you have questions, contact Advantage Title directly when your next LLC listing pops up. We’ll be happy to walk you through it.