Just getting started

[Michael Smith]

Hello BP crew, my name is Mike and I'm just getting started as a real estate investor. My plan is to build a portfolio of rental properties in my local market, Florida's Space Coast. I formed an LLC which was officially assigned an EIN by the IRS today, and I will be working with a private lender to finance my first purchase. I have a few questions that I'm sure many of you experts will have the answer to. Thanks in advance! =]

1) If I need to sign as personally liable in order to obtain future financing, will my LLC still be effective to shield my personal assets from liability against those who might sue me other than the lender? For example, if someone gets hurt on a property owned by the LLC but I had to use my personal credit to secure financing for the property, does this allow them a way to "pierce the corporate veil" and go after me personally?

2) If I purchase a propery subject to the seller's original financing, does that debt become a liability on my company's balance sheet? And if I am unable to make the payments or the lender calls the loan, is my company liable for the debt or does responsibility lie solely with the seller?

3) How hard is it to structure a deal where the seller carries a note but my company's liability is limited to only that property? For example if I default on the loan the most they can do is take that property back.

Thanks everyone! I'm sure I'll have a lot more questions =]