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When transferring property to a limited liability company (LLC), a common mistake is using a quit claim deed. This type of deed does not provide warranties and fails to effectively transfer ownership. It signals to third parties that the individual behind the LLC is still connected to the transaction. Unlike a warranty deed, which ensures assurance in property rights, a quit claim deed does not offer the same level of security and is only acceptable to the original party involved. Therefore, it is crucial to use a warranty deed for transferring property into an LLC or land trust to maintain proper legal protections and conveyance.