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Rental quit claim

Posted on: 01st Dec, 2006 12:23 pm
I have a property that I am planning to rent out through my realtor.
The issue I have is that the HOA rental fee in my neighborhood is $1500 and also a 3 month screening period is required. This discourages most potential renters.

My realtor is saying that other owners in my neighborhood use the following loop hole and I should consider it also:

I would quit claim the property to the renter but at the same time have the renter quit claiming it back to me. Also have a notorized document signed by the renter saying he does not have any equity in the property.
In case the HOA asks the renter why he is living there he can show that he is on the deed...however I will have documents showing he is not....

Can anyone tell me if this will work or is advisable???
It would not be a wise decision to go with such a method. Why I am saying this is that how the renter will show that he is on the deed after he quit claims it back in your name?

There can not be two quit claim deeds at the same time for two different persons. At the time of the second quit claim deed there would be date mentioned in the deed. In addition the county records will be updated to show your name instead of the renter.
"In case the HOA asks the renter why he is living there he can show that he is on the deed"
If the HOA check with the recorder's office then they would easily be able to figure out who the current owner is.
Posted on: 01st Dec, 2006 12:58 pm
Hi Guest,

What your realtor has advised you is a kind of illegal activity I suppose. I shall suggest that you stay away from such practices. Moreover, the notary may not sign on such a deed. And, the homeowners association can easily find out the actual owner if they suspect that you are into any kind of fraud.

I don't think there is any other way out except to wait for the right tenant.

Thanks,

Sara
Posted on: 01st Dec, 2006 09:17 pm
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