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Alex J. Esq.
Alex J. Esq., Attorney at Law
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I own several rental properties that I still have mortgages

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I own several rental properties that I still have mortgages on. Can I place them into a trust such as a land trust or a revocable living trust without triggering the due on sale clause on the mortgages? This would be more of an asset protection kind of strategy.

Thanks,
Arthur
Hello. My name is XXXXX XXXXX I will be happy to answer your question.

If the mortgage agreements have the due on sale clause, you would not be able to transfer ownership to any other physical individuals or legal entities.

The banks include this clauses to protect their interest in property.

However you can contact the bank's legal department and see if they would allow for you to put these properties in some type of trust.



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