Getting a loan through an LLC

[Spencer Cuello]

Hello fellow investors,

I'm a first time investor. When it comes to getting a loan, do people recommend to get a personal investment loan? Or try to get the loan through the LLC?

I appreciate any help. Thanks!

Spencer

[Ned Carey]

@Spencer Cuello the cheapest financing will be it you hold properties in your own name. However that means increased liability. 

I look at it as sort of amateurish to run a business in your own name. I do all my real estate through an LLC but each person has to weigh the risks and costs. It will cost you more to do loans through an LLC.

The most important factor when talking to a lender is to let them know up front if you have your properties in an LLC. There are totally different loan products for LLCs vs in your own name.