Using a HELOC with my LLC

[Dominique Mitchell]

Hi BiggerPockets

So I just recently got a HELOC on my personal home. I want to start BRRRR investing. I recently started working with a hard money lender and I was told that I would need to have my business as a LLC to receive funding with them.

So I used legal zoom and got everything squared away with getting a LLC.

Now I was wondering since my HELOC is in my name. Can I use that as prof of assets, and funding to help me with my purchase?

I would not be using it to buy the properties just with fees, and proof of funds, or emergencies. And to cover what the hard money lender would not.

Thank you for your help

[Kerry Baird]

@Dominique Mitchell now read up on how to fund your LLC, how to pay yourself from your LLC, so you are familiar with owner's equity, contributions and distributions. Also, set up a new bank account, just for the LLC so you can keep your money apart from the new property's money.

I've done this over the past few months, and there is a learning curve.  :D