Was told to use LLC but Financing is challenging

[Account Closed]

I was told to drop my home into an LLC ASAP. It's in a single-member LLC. It's owned free and clear and now that I want to pull cash out via a refinance, no one seems to want to work with me. But if I pull it out of the LLC and put it in my name, it seems like a liability. What should I do? Should I work on building credit of the LLC?

[Gino Barbaro]

@Account Closed

The funny thing about LLCs is that you never hear someone write on the site that they didn't have an LLC and they lost their property because it was being held personally. You will never hear the horror stories, but they are out there. Its is one of those things in life if you want to sleep at night. As your empire grows, you need to look into asset protection. There is a reason why wealthy people own nothing in their names personally.

If your goal is to become wealthy, then start to mirror those who are already there.  If you are pulling cash out of your home, it will be less likely that someone will sue you because you will have less equity in the home.  Believe it or not, you are at more risk with a home that has no mortgage.

Gino