Out of home state purchasing

[Craig Naylor]

I'm in the process of setting up my LLC for Massachusetts. I am looking at several other states for purchasing property such as New Hampshire and Louisiana. Two questions: 1, do I need to register my company in each state I do business in? 2, through your experiences should I look for lenders in the local market or in my home area? Thanks.

[Ann Bellamy]

Yes, you'll need to register in each state where you buy property, and you should look for lenders in the state where the property is.  

In your case, many lenders who work in MA also work in southern NH, so simply ask them.  As for Louisiana, that may be a different case.  And understand that many local lenders may not lend to out of state borrowers.  

Or you would have to look for national or regional lenders

You can't, for instance, use a MA hard money lender to lend in LA unless that person specifically lends in LA.  And the local LA lenders may not want you.  There are extra challenges with buying out of state.  

Moving from MA to NH is not really considered out of state because of the small distances and the fact that many lenders work in both.