Questions & Advice: Loans, Existing LLC, Closing on 2nd

[G W]

Two years ago myself and a friend purchased a distressed single family home and rehabbed it. We purchased the home & rehabbed it with cash and unsecured loans. A quick break-down of the numbers look like this.

Purchase price: $20K
Rehab costs: $30K

The rehab took about 4 months with us working nights and weekends. Our intention of flipping the house failed. Our listing agent thought we could confidently list & sell the property at $75K. It just did not pan out.

So, we kept it as a rental. It’s been about two years and I am pleased with how the “landlording” thing is working out.
Rent is at $700/month which created $128.00/month positive cash flow for 2007 (taking into account the tax return for 2007)

In order to clean the financing up on all the unsecured loans he and I had out on the property, everything was rolled into a fixed rate mortgage. HERE IS THE CATH: Due to my recovering credit score, I was not able to be listed on the deed or the loan. Instead we drew up a promissory note and formed a LLC.

FINALLY, MY QUESTION: As soon as my credit score qualifies me to be on a loan, we are going to "sell" the property to our LLC with both of us being on the loan. I monitor my credit every month. The three credit bureaus look like this 620, 620, 600. :crying:
What sort of loan would you recommend? Are there any that would be more appropriate for this sort of scenario to ease “closing costs, etc…”

Also, me and my BP are closing on a second REI tomorrow. It is a two car garage block building on a nice lot. We got it for $20K with a true market value of about $30K. We are going to use it for personal storage as neither of our homes have a garage. We are paying cash to avoid financing issues stemming from my credit score. About $10K each.
We got a commercial insurance policy Friday for the block building (on paper, this building is showing as the LLC's office building) and the LLC is going on the deed tomorrow at closing. This garage is not an income producing rental, but like I said, It's a nice lot with every home on the street valued at $100K+ detached single family homes. Easy to demolish it and drop a modular home or build onto the existing structure in a year or two.

Answers, comments, questions much appreciated!!!