Commercial Loan Cash-Out Refi

[Charles Thurber]

Hey all,

My partners and I are in the midst of a 4-week flip on a BRRRR Property in Texas. We purchased the property in cash and are looking for a cash-out refinance.

Since this is a partnership, we are performing the entire operation under an LLC. We are running into the common-issue of finding best terms for a commercial-loan of 80% on a 20-year period.

We are looking for a way to find 30 year terms....is this something we could achieve without putting the property under one of our personal-names?  (& having a transfer of property, tax changes, etc)

Thanks in advance for any time & experience

[Alex Bekeza]

@Charles Thurber

I work with a handful of small balance commercial lenders who offer 80% and 30 year term/am. However, until loan amounts start getting over $1mm or so they are going to require a personal guarantee from any LLC members who own 25% or more.

I'm not talking about VESTING. It's still vested in your LLC so there's not reason to transfer the property. It simply means that you are all personally responsible for the repayment of the loan.