Hello from Greenville,SC - question finance / business structure

[Matthew Wade]

Hello everyone,

I am a first time poster, been listening and reading material from the board for a year or two now.  Been sitting on the sideline but wanting to get into real estate investment - rental properties.  2016 is going to be my year of taking the first step.  Thank you to all who have already helped with their posts and a early thank you for the support  moving forward.

One of my hesitation up to this point was capital to get started however, I just recently had a conversation with two 2 friends/coworkers that were in the same boat and so we started discussing going in together 3 ways to get our foot in the door. We understand the venture would me less profit individually (split 3 ways) but also less risk individually so we are entertaining it or researching. My question... we assumed we would setup a LLC where we were 3 partners/owners and the properties would be held under this new entity. Is this correct or do you know of some helpful material on the site that may speak to this situation?

A;so, I was curious how financing works in this scenario?  Does the business take out the loan or is it a personal loan with 3 cosignees?   We are looking at probably starting with a townhouse or duplex but all eventually had interest in getting into a small apartment or set/group townhouses.

Again, appreciate your support and look forward to the journey starting in 2016.

-Matt