Investment Property Financing and 3 member LLC

[Graham Vanderheide]

Anyone have thoughts on the below?? Looking to understand the easiest / simplest way to cash out refinance the property and use the capital to purchase our next property.

Long story short...

- Bought an investment property for $110k on a second home mortgage 10% down (mortgage and deed still in my personal name) 2.75% interest

- Renovated property this Spring (with all expenses run through an LLC with two friends, we each have 33% ownership)

- Property is cash flowing nicely on short term rentals (all revenue run through LLC)

- Current Zestimate $200k

I have not yet deeded the property into the LLC, as I know we want to potentially refinance next year to extract our equity and use it to purchase another one. The other options I have heard would be to deed it into the LLC and then work to get a Home Equity Loan or HELOC through the LLC.

I have also heard of possibly refinancing in my name, and then "loaning" the cash out funds to the LLC at a low interest rate so the LLC can then use to purchase our next property.

Would there be any way to get these cash out funds to another member of the LLC so they can purchase our next property as a second mortgage, with low interest rate similar to how I did for the first one? If we purchase the next one through the LLC we will be looking at non- conventional financing/higher downpayment %/higher mortgage rates/difficulty finding lender.

I am wondering if anyone has any experience in small member LLC's like this for investment properties. Since we are a little tight on capital, we are hoping to leverage the equity from the first home into our next purchase, and so on and so forth from there as opportunities arise (target 5 in the next few years). I know refinancing / equity loans / line of credits / etc all get a little complicated when you involve an LLC so just looking for some guidance.

THANK YOU!! I have been researching endlessly and can't find clear answers.