buy/rehab/refi w transition from LLC to personal name

[Andy Becker]

Is there a debt product for this situation?

I have a single family home I am considering purchasing with my LLC, all-cash. The property needs repair, things like roof, electrical fixtures, paint, crack repair, new appliances etc. It's all concrete. Ultimately I may want to own the property in my own name, not with the LLC. And I would like to not come out of pocket with cash, and instead use low rate debt. If I finance the repairs now, I am not sure the terms/ease to get a commercial rehab loan? and then try and make a transaction to purchase the property from my LLC, the market value will have increased and I assume I will need to pay a near-market value so that the sale is not disregarded. That would be a lot of extra cash to come up with. At least at that point I could cash-out refinance at the after-rehab value. Ideally could find some financing that can "stay with the property" and not need additional setup with the transition from LLC to personal ownership, assist with rehab and anticipate the ability to capture the appreciated after-rehab value?