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Updated over 5 years ago,
Confused about BRRRR and leverage
Hi All,
I've been reading a lot about the BRRRR strategy but am still confused about one thing. Assuming you are taking these loans out in your personal name, won't the banks stop lending to you after the first few properties? Or are they using the rent to keep the debt to income ratio down?
Also, I'm very conservative and hate to have these loans out in my name and put additional risk on my family and my personal household. I keep very high reserves but still would prefer to keep all liabilities in the LLC. I like to plan for worst case scenario. Any tips on getting these loans secured with the credit of the LLC? Do I just need to do a few deals with the same lender and they will eventually be able to lend to the LLC?
Thanks