Real Estate

A Real Estate, issued by individual state governments, offers proof that a business has complied with local business law. It also confirms that the business is properly registered with the state and is current on its state tax obligations. These documents are often required by banks, government agencies, and other organizations. Legal Ace can eliminate the hassle of dealing with government agencies to get your Certificate.

Testimonials

	I absolutely loved working with LegalACE to establish my LLC. The entire process was very easy to follow and far more user friendly than some of the other sites I looked into. ~ Jackie W. - Chandler, Arizona

Frequent Questions

• What’s the difference between a “quick claim deed” and a “quit claim deed”?
  

  Quit claim deeds are often incorrectly referred to as “quick claim deeds”. There is no such thing as a “quick claim deed”.

• Can I use a quit claim deed to transfer my property into the name of an LLC, corporation, or other business entity?
  

  Yes. Your interest in real property can be transferred to a business entity by using a quit claim deed. This is generally considered a good idea, however, there is one major consideration that you should think about before doing it. If there is a mortgage on the property, there is a very high chance that your mortgage company has inserted what’s called a “due-on-sale” clause into your contract. The clause basically says that any time you sell or transfer the property to a different person or business, they can force you to immediately pay up the balance of the loan. Transferring the property to the name of an LLC or corporation would activate this clause. They may not actually try to enforce it, but you should be aware of its significance.

• If I transfer my home to the name of a living trust using a quit claim, will my mortgage company be able to enforce a due-on-sale clause?
  

  No. Federal law prohibits mortgage companies from enforcing a due-on-sale clause when you transfer your principal residence into the name of a living trust?

• If I transfer a property (other than my primary residence) into the name of my trust using a quit claim, can the mortgage company enforce a due-on-sale clause?
  

  Yes. There is no specific law that prohibits them from calling due a mortgage on a property that has been transferred to your trust if the property is not your primary residence.

• What’s the difference between a quit claim deed and a warranty deed?
  

  Both deeds are used to transfer real estate. With a warranty deed, you transfer title to property and make a promise that you own the property without any legal problems, such as creditors, liens, etc. The warranty deed is commonly used when you’re selling real property to someone else. Chances are that when you bought your home, a warranty deed was given to you. With a quit claim, you simply transfer the property and make no promises whatsoever. These are commonly used when owners want to quickly and easily transfer title without having to make any promises about it.

• Since the property is in the name of my company or trust, am I still responsible for my mortgage if I use a quit claim deed?
  

  Yes. The quit claim deed only transfers your interest in the property. It does not affect your obligation to pay back your loans, nor does it transfer that obligation.

Glossary

Select a term in our glossary:

Acknowledgment of Service AdministratorAdvancement Alternative Dispute Resolution Annual MeetingAnnuityAnswer ArbitrationArticles of Incorporation AssetsAssignmentAssignment of Wages Authorized SharesBeneficiary BequeathBequestBusiness EntityBylaws C CorporationCertificate of Authority Certificate of IncorporationCharitable CorporationCharterClose Corporation Co-PetitionerCodicilCollective MarkCommon StockCommunity DebtsCommunity PropertyComplaintConsent AgreementCopyrightCopyright InfringementCorporationCorpusCovenant MarriageCustodial ParentCustodianDBADecedent DecreeDefaultDefendant DescendantDeviseDevisee DirectorsDisclosureDiscoveryDissolutionDividendDocketDomestic Corporation Durable Power of AttorneyEINEmployer Identification Number EntityEquitable DistributionEstateEstate Tax ExecutorFault DivorceFiscal YearForeign CorporationForeign NationalGrantor Grounds GuardianGuardian ad-Litem Health Care DirectiveHealth Care Power of Attorney Health Care Proxy HeirHolographic WillImmigrant Visa Incorporator InfringementInheritance TaxIntellectual Property Inter Vivos TrustIntermentIntestateIntestate SuccessionIrrevocable Living TrustJoint and Survivor Annuity Joint Life AnnuityJoint Tenancy with Right of SurvivorshipJudgment LeaseLegal CustodyLegal Grounds Legal Separation LegateeLesseeLessorLimited Liability CompanyLimited Liability PartnershipLimited PartnershipLiving TrustLiving WillLLC Manager Mandatory Wage AssignmentMarital PropertyMediator MinutesMonth-to-Month Motion NationalNaturalizationNisiNo-faultNon-Custodial Parent Non-Immigrant VisaNon-Profit Corporation Nuncupative Will OfficerOperating Agreement Order of AssignmentOrder to Show Cause Par ValueParent CorporationParenting Plan Partner Support Partnership PartyPatent Per Capita DistributionPer Stirpes Periodic TenancyPetitionPetitionerPhysical CustodyPlaintiffPost Nuptial AgreementPower of AttorneyPreferred StockPremarital AgreementPrenuptial AgreementPro Per Pro Se ProbateProcess ServerProfessional CorporationProfessional Limited Liability Company ProxyPublic CorporationQDRO Qualified Domestic Relations OrderQuorumReal PropertyRegistered AgentRegistered OfficeResidencyResident Witness Residuary RespondentResponse Revocable Living Trust S CorporationSelf-Proving AffidavitSeparate DebtSeparate PropertySeparationService Service Mark Settlement Agreement Settlor ShareSingle Life AnnuitySole ProprietorshipSpousal MaintenanceSpousal SupportStatutory AgentStockStock Certificate SubleasingSubsidiary CorporationSuccessor TrusteeSummonsTenancyTenancy in CommonTenant Testament TestamentaryTestamentary TrustTestateTestate SuccessionTestatorTrademarkTrustTrusteeTrustor UnconscionableUncontested DivorceUndue Influence Unlawful Detainer VerificationVisaVisitationWillWitness