Can I purchase an LLC that owns the REO property? Any advice?

[GC Vaghasia]

Hello BPers,

I am a newbie and just venturing into the REO flipping business. Needless to say, I'm a bit nervous and can use some advice.

I am purchasing my first REO property from a wholesaler. However, the wholesaler is suggesting that I purchase the LLC that owns the REO property so we can speed things up and avoid double closings. If I purchase the LLC and remove the current single member on the LLC, is that sufficient? Although I trust the wholesaler, there is no way for me to know if the LLC has any liabilities, is there? Not sure what the pros and cons are of purchasing the LLC directly. Any thoughts or advice would be greatly appreciated!

Thanks so much,

~GC~

[Chris Seveney]

GC Vaghasia
Do not purchase the LLC. What if there were fines, lawsuits or other debts the LLC owed.

You just bought them as well if you buy the LLC.

Not worth your time or aggravation to buy the LLC