Financing a property with Resident+Foreigner partnering in an LLC

[Demailly Ronan]

Hi all, 

We have done a lot of research and brainstorming, I believe now is the best time to use to power of BP.

My partner is residing in Europe. I am a resident in the US. Both of us are going to create an LLC and buy few investment properties.

We found a very good lender who is willing to finance what we are looking for.

The only problem is that he will not finance if my partner (foreigner) has more than 20% share into our LLC.

For us to fully enjoy the benefits of partnering, it is really important to be 50-50 into it. The lender mentioned that we could do something on the side, between my partner and I, explaining that we are 50-50, but on the paper, the LLC must be at least 80% owned by the US resident.

What are you thoughts? 

- Have you encountered a similar situation?

- What did he mean by "something on the side"?

- Do we have other financing options for an LLC formed by a resident + a foreigner?

Thank you in advance for your help.