Types of Ownership:
á LLC (limited liability company)
á Joint ownership
á Sole ownership
á Ownership Generally
á Foreign Entities
Limited Liability Company (LLC)
Owners who plan to rent out their mobile homes should consider holding the homes in limited liability companies. The purpose of llcs is to limit liability. Mobile home parks, or owners of multiple homes in trailer estates, can benefit by placing homes in the llc entity. The number of homes and value of the ownerÕs assets should determine the number of limited liability companies, depending on the risk the owner is willing to endure. Obviously, liability insurance is also very important. Nevada recognizes and allows Òseries llcsÓ which operate sort of like a corporation with several subsidiaries. The point is, a person can have several pockets to store assets in. If one pocket gets picked, the other pockets may not be.
LLC creation makes sense:
¥ When real estate is owned for investment purposes
¥ When several entities own the business
¥ When the business is a partnership
¥ When the owner is seeking complete protection from personal liability
If you have an LLC in another state but wish to own property in Nevada, you should register your foreign LLC with the Nevada Secretary of State in order to ensure protection from liability.
NRS 86.141 Purpose for organization.
1. Except as otherwise provided in subsection 2, a limited-liability company may be organized under this chapter for any lawful purpose.
2. A limited-liability company may not be organized for the purpose of insurance unless approved to do so by the Commissioner of Insurance.
(Added to NRS by 1991, 1293; A 1995, 496; 2005, 2257)
NRS 86.151 Filing requirements.
1. One or more persons may form a limited-liability company by signing and filing with the Secretary of State articles of organization for the company.
2. Upon the filing of the articles of organization with the Secretary of State and the payment of the required filing fees, the Secretary of State shall issue to the company a certificate that the articles, containing the required statement of facts, have been filed.
3. A signer of the articles of organization or a manager designated in the articles does not thereby become a member of the company. At all times after commencement of business by the company, the company must have one or more members. The filing of the articles does not, by itself, constitute commencement of business by the company.
(Added to NRS by 1991, 1293; A 1993, 1012; 1995, 1126, 2107; 1997, 715; 1999, 1611; 2003, 3136; 2007, 2669)
NRS 86.155 Perpetual existence of company. Unless otherwise provided in its articles of organization or operating agreement, a limited-liability company has perpetual existence.
(Added to NRS by 1997, 714)
NRS 86.1255 ÒSeriesÓ and Òseries of membersÓ defined. ÒSeriesÓ and Òseries of membersÓ are synonymous terms and, unless the context otherwise requires, mean a series of membersÕ interests having separate rights, powers or duties with respect to property, obligations or profits and losses associated with property or obligations, which are specified in the articles of organization or operating agreement or specified by one or more members or managers or other persons as provided in the articles of organization or operating agreement.
(Added to NRS by 2005, 2189)
If you have a corporation in another state but wish to own property in Nevada, you should register your foreign corporation with the Nevada Secretary of State in order to ensure protection from liability.
Corporations are intended to limit liability for investors. Mobile home manufacturers and repairmen may wish to have corporations. Various factors should be considered in deciding between a corporation or limited liability company.
A corporate attorney is important for deciding whether a corporation is appropriate. The federal government recognizes subchapter S and subchapter C corporations, which have different tax consequences.
Trusts are typically established in anticipation of death. There are various types of trust, including living trusts, testamentary trusts, and charitable trusts.
If you own assets and want to prevent your heirs from enduring the costs and procedures of probate court, a trust is advisable. If you have a trust, you should retitle or tile all of your assets into the trust, including vehicles, mobile homes, and real estate.
You can own a mobile home with multiple people or even multiple entities. The names must be reflected on the title to be effective.
You can own a mobile home in your name alone. If you do not have a lot of assets, are not married, and plan to live in the mobile home, then this option makes sense.
Mobile home owners may own the building but not the land on which it sits, or they may own both the building and the land depending on the situation.
Mobile home owners usually pay less in property taxes per square foot than stick and mortar homeowners.
Mobile homes now are typically built to HUD standards, or even better as they travel on wheels sometimes thousands of miles to be set up at the location in which they will be lived. Try to imagine a normal house surviving such a trip.
Because many mobile homes are above ground, they do not usually suffer from the same settling problems that houses suffer from, such as cracking in the concrete foundation and sheetrock walls. Plumbing and electrical is usually easy to get to in a mobile home, with crawlspaces underneath.
Many factories now design mobile homes to buyers specifications, creating an opportunity for an affordable custom built home.
If you have an LLC or corporation in another state but wish to own property in Nevada, you should register your foreign LLC or corporation with the Nevada Secretary of State in order to ensure protection from liability:
NRS 86.544 Filing requirements; required provisions of application for registration. Before transacting business in this State, a foreign limited-liability company must register with the Secretary of State. In order to register, a foreign limited-liability company must submit to the Secretary of State an application for registration as a foreign limited-liability company, signed by a manager of the company or, if management is not vested in a manager, a member of the company. The application for registration must set forth:
1. The name of the foreign limited-liability company and, if different, the name under which it proposes to register and transact business in this State;
2. The state and date of its formation;
3. The information required pursuant to NRS 77.310;
4. A statement that the Secretary of State is appointed the agent of the foreign limited-liability company for service of process if the authority of the registered agent has been revoked, or if the registered agent has resigned or cannot be found or served with the exercise of reasonable diligence;
5. The address of the office required to be maintained in the state of its organization by the laws of that state or, if not so required, of the principal office of the foreign limited-liability company;
6. The name and business address of each manager or, if management is not vested in a manager, each member;
7. The address of the office at which is kept a list of the names and addresses of the members and their capital contributions, together with an undertaking by the foreign limited-liability company to keep those records until the registration in this State of the foreign limited-liability company is cancelled or withdrawn; and
8. If the foreign limited-liability company has one or more series of members and if the debts or liabilities of a series are enforceable against the assets of that series only and not against the assets of the company generally or another series, a statement to that effect.
(Added to NRS by 2001, 1386; A 2001, 3199; 2003, 3141; 2005, 2197; 2007, 2675)
NRS 80.010 Filing requirements; distinguishable name of corporation required; availability of name of revoked, merged or otherwise terminated corporation; limitations; regulations.
1. Before commencing or doing any business in this State, each corporation organized pursuant to the laws of another state, territory, the District of Columbia, a possession of the United States or a foreign country that enters this State to do business must:
(a) File in the Office of the Secretary of State of this State:
(1) A certificate of corporate existence issued not more than 90 days before the date of filing by an authorized officer of the jurisdiction of its incorporation setting forth the filing of records and instruments related to the articles of incorporation, or the governmental acts or other instrument or authority by which the corporation was created. If the certificate is in a language other than English, a translation, together with the oath of the translator and his or her attestation of its accuracy, must be attached to the certificate.
(2) The information required pursuant to NRS 77.310. The street address of the registered agent is the registered office of the corporation in this State.
(3) A statement signed by an officer of the corporation setting forth:
(I) A general description of the purposes of the corporation; and
(II) The authorized stock of the corporation and the number and par value of shares having par value and the number of shares having no par value.
(b) Lodge in the Office of the Secretary of State a copy of the record most recently filed by the corporation in the jurisdiction of its incorporation setting forth the authorized stock of the corporation, the number of par-value shares and their par value, and the number of no-par-value shares.
2. The Secretary of State shall not file the records required by subsection 1 for any foreign corporation whose name is not distinguishable on the records of the Secretary of State from the names of all other artificial persons formed, organized, registered or qualified pursuant to the provisions of this title that are on file in the Office of the Secretary of State and all names that are reserved in the Office of the Secretary of State pursuant to the provisions of this title, unless the written, acknowledged consent of the holder of the name on file or reserved name to use the same name or the requested similar name accompanies the articles of incorporation.
3. For the purposes of this section and NRS 80.012, a proposed name is not distinguishable from a name on file or reserved solely because one or the other names contains distinctive lettering, a distinctive mark, a trademark or trade name, or any combination thereof.
4. The name of a foreign corporation whose charter has been revoked, which has merged and is not the surviving entity or whose existence has otherwise terminated is available for use by any other artificial person.
5. The Secretary of State shall not accept for filing the records required by subsection 1 or NRS 80.110 for any foreign corporation if the name of the corporation contains the words Òengineer,Ó Òengineered,Ó Òengineering,Ó Òprofessional engineer,Ó Òregistered engineerÓ or Òlicensed engineerÓ unless the State Board of Professional Engineers and Land Surveyors certifies that:
(a) The principals of the corporation are licensed to practice engineering pursuant to the laws of this State; or
(b) The corporation is exempt from the prohibitions of NRS 625.520.
6. The Secretary of State shall not accept for filing the records required by subsection 1 or NRS 80.110 for any foreign corporation if the name of the corporation contains the words Òarchitect,Ó Òarchitecture,Ó Òregistered architect,Ó Òlicensed architect,Ó Òregistered interior designer,Ó Òregistered interior design,Ó Òresidential designer,Ó Òregistered residential designer,Ó Òlicensed residential designerÓ or Òresidential designÓ unless the State Board of Architecture, Interior Design and Residential Design certifies that:
(a) The principals of the corporation are holders of a certificate of registration to practice architecture or residential design or to practice as a registered interior designer, as applicable, pursuant to the laws of this State; or
(b) The corporation is qualified to do business in this State pursuant to NRS 623.349.
7. The Secretary of State shall not accept for filing the records required by subsection 1 or NRS 80.110 for any foreign corporation if it appears from the records that the business to be carried on by the corporation is subject to supervision by the Commissioner of Financial Institutions, unless the Commissioner certifies that:
(a) The corporation has obtained the authority required to do business in this State; or
(b) The corporation is not subject to or is exempt from the requirements for obtaining such authority.
8. The Secretary of State shall not accept for filing the records required by subsection 1 or NRS 80.110 for any foreign corporation if the name of the corporation contains the word Òaccountant,Ó Òaccounting,Ó Òaccountancy,Ó ÒauditorÓ or ÒauditingÓ unless the Nevada State Board of Accountancy certifies that the foreign corporation:
(a) Is registered pursuant to the provisions of chapter 628 of NRS; or
(b) Has filed with the Nevada State Board of Accountancy under penalty of perjury a written statement that the foreign corporation is not engaged in the practice of accounting and is not offering to practice accounting in this State.
9. The Secretary of State may adopt regulations that interpret the requirements of this section.
[Part 1:89:1907; A 1949, 503; 1951, 203; 1955, 404]—(NRS A 1957, 74; 1959, 839; 1965, 600; 1977, 404; 1979, 398; 1981, 385; 1985, 1874; 1987, 1059; 1989, 950, 980, 1972; 1991, 99, 1243, 2248; 1993, 129, 980; 1995, 1117, 2102; 1997, 1059; 1999, 1595, 1707, 2442; 2001, 101, 109; 2003, 3112; 2003, 20th Special Session, 41; 2007, 3, 2651)
Few lawyers in Nevada handle issues related to mobile homes.
Call us to assist with your mobile home title concerns regarding mobile homes, modular homes, manufacture homes, trailers, trailer parks, and trailer estates.