Is turning your investing ventures into a LLC a smart move ?

[Colby Zeller]

Ive been reading a-lot about lending and how to get approved for the loan you want, I recently came across a section about how creating a LLC will turn residential lenders away from you. I was planning to create a LLC when the time came to buy my first property but now Im having second thoughts. Has anyone out there created a LLC and ran into trouble when it came to lending ?

[Benjamin Aaker]

If your first property is an investment property, then you won't be able to enjoy benefits of an FHA residential loan anyway. It's much better to have the limited protection you get from purchasing in an LLC. You'll have to get a conventional loan for your LLC and likely will personally guarantee the loan.