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- Hey, whats up guys, Clint Coons here. And in this video, I wanna talk about that dreaded due on sale clause that everyone seems to get hung up on when it comes to transferring real estate into their limited liability company. Okay, lets get started. (upbeat music) So heres the issue, you talk to your local attorney, your CPA, financial planning advisor, and you tell them, hey, I bought this rental property and its residential, cause remember, this doesnt apply to commercial real estate, which is more than four units or five units or more. And typically, its not an issue, if youre working with a community bank, because theyre gonna write a portfolio loan, that means theyre gonna hold it themselves, they have different underwriting guidelines. Where this really comes into play is with those Freddie, Fannie conforming loans, which they control about 90% of the mortgage business in this country. So they have specific guidelines and most conventional loans that youre writing, y
