Dallas, TX LLC Formation, Steps for Getting Started plus more

[Price Peeler]

Hello members,

I’d like to describe my scenario and questions I have about getting started with my first rental and entity. I understand that I need to advise a lawyer, working on an understanding and plan here first.

I would like to move into a new house and convert my current residence into a rental, research has revealed an LLC makes the most sense in many or majority of cases.

-I plan on completing a refi of the current FHA loan to a non-FHA product, does it matter if I refi before or after placing property in LLC.

-I would also like to open a HELOC on the property. I am initially thinking that I would draw on this for my next down payment if the cash flow on my current home as a rental makes sense. I hear I need to open the HELOC prior to placing in LLC, correct?

-What happens after the property is in LLC, can I continue to draw on the HELOC tied to property for personal use or is that not keeping the LLC assets separate from personal use. I image any use of the HELOC outside of that subject property would/could be considered personal use after that because any new financing would be a personal mortgage and not being taken out in name of LLC. We are using the funds to acquire any new property then placing in the LLC every time I imagine. (Side question: The cash flow from properties will go towards new acquisitions, that isn't taxed passively as it leaves the LLC to buy more property in your name?? trying to figure out how cash flow from asset in LLC goes to buy additional property that would be personally guaranteed.)

-A podcast advised (please correct me with appropriate steps): Form trust, deed property to trust, place trust in LLC ownership (Be aware of any due on sale clause, avoid by using trust?). Can you recommend a good post with instructions to follow and lawyer I can use in Dallas area that has a reputable BP presence, do you recommend I use one of the self-serve legal sites instead of using a legal firm, I am leaning toward using a local expert.

Can someone speak to sole vs. multi member tax treatment in regards to the following scenario:

-Both my wife and I will have properties in our name but not jointly on the same property. What is the recommended structure.

-If my wife gets a mortgage in her name and I am running the business, how do you I gain visibility to the account without signing into the mortgage servicing portal as her. Authorized 3rd party? Use the right portfolio lender?

Thank you,

Price