Help With Owner Financing and Refinancing After Seasoning

[Jonathan Edmund]

So I am looking to purchase my first investment property. I think I'm going to owner finance it for a year or 6 months first so I can buy it under my LLC instead of my personal name. I'm assuming after seasoning for 6 months or a year, I can apply for traditional financing under my LLC and make the purchase.

1. The LLC has no credit or anything, so when refinancing, how will the lender use any data to determine if i'm eligible for a loan on the property?

2. The property is already rented and I'm probably going to give the owner 10% down and have him hold a note for a year with a balloon payment. Do I have to put another down payment down to refinance? I'm trying to figure this out where I use as little of my own money as possible. I want to use the equity in this property to buy another property later on but don't want to come out of pocket for 10% to him then another 20% when I refinance since it's already rented.

3. Any tips on how to work out the owner financing?

4. Should I just buy it under my name instead and not do owner financing or would there be a benefit since he's willing to do so?

Any feedback from lenders/investors would be greatly appreciated!!! 

[Melvin List]

@Jonathan Edmund I am not sure what the owners terms are but I would assume they will not be better than going with a conventional mortgage.