It is very stupid to me. If they are concerned about why can't they just ask for the articles of incorporation to be included with the purchase contract? That will eliminate alot of investment condo buyers in my area.
Well said brotha!
I heard about that Smitty. There were some doing flips, buy in a trust, llc..etc and then transfer there rights to the new end buyer.
Is this correct?
Be careful not to transfer too soon. Make sure the buyers are aware of language like line 8 of BAC's new short sale addendum.
"8. Buyer agrees that property cannot be sold or otherwise transferred within 30 days of closing;. "
I have seen some bank addendums require as long as 6 months before transfer can occur. If the transfer occurs within the disallowed timeline, the listing agent may get blacklisted at best, and the sale could undergo fraud investigation at worse. Not that I think they would ultimately prosecute if they saw that is was same owner changing form of ownership...but who wants to have to go through that scrutiny regardless of what the outcome would be.