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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link="#0563C1" vlink="#954F72" style='word-wrap:break-word'><div class=WordSection1><p class=MsoNormal>I have a client who has an estate plan I am reviewing. The first problem was that the pour over wills were not witnessed, so we have to change that. But, the married couple owns property in Washington, Utah, and Oregon. They have signed some forms they have called “Assignment of Property” to various LLCs that they may or may not have created (I am investigating this). These “Assignments” say that the property is transferred to these separate LLCs, one for each property. But I don’t see that these Assignments have any legal value. <o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>My client just told me that he has not been able to transfer the title to the mortgaged properties into their respective, separate LLCs—one for each property--because all except one of them is mortgaged and the bank won’t let them have an LLC hold title to a mortgaged property. So, that is one issue. <o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>They also have a revocable trust, but only one property shows ownership by its designated LLC. This is the property that does not have a mortgage. So, is this property in the trust? I don’t think so. The other properties are owned by them either jointly or individually. So, are these properties in the trust? I don’t think so. <o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>It’s all community property, and they have a community property agreement. Is this advisable or necessary to have a CPA in this situation?<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>So, my questions are:<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>Can an LLC hold title to a mortgaged property?<o:p></o:p></p><p class=MsoNormal>Can a trust hold title to a mortgaged property?<o:p></o:p></p><p class=MsoNormal>Can an LLC holding title to a mortgaged property be held in trust?<o:p></o:p></p><p class=MsoNormal>Would it be necessary or possible to create new trusts to hold title to mortgage property?<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>If the mortgaged property cannot be held by the trust, what advise do you have about how to create a good estate plan for them?<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>Thank you for any insight you can give me. I may be asking the entirely wrong questions!!<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal>Susan<o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal style='text-autospace:none'><b><span style='font-size:13.0pt'>SUSAN DONAHUE</span></b><b><span style='font-size:12.0pt'><o:p></o:p></span></b></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>Law Office of Susan Donahue<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>125 West 2<sup>nd</sup> Avenue, Suite “B”<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>P.O. Box 81<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>Twisp, WA 98856<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>(509) 996-5944 (phone)<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt'>(509) 362-9692 (fax)<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt;font-family:"Times New Roman",serif'><a href="mailto:sdonahue@sdonahuelaw.com"><span style='font-family:"Calibri",sans-serif;color:blue'>sdonahue@sdonahuelaw.com</span></a></span><o:p></o:p></p><p class=MsoNormal><o:p> </o:p></p></div></body></html>