Is the goal to put investment property in your business entity?

[James D.]

So, I presented a deal that will allow me to purchase an invest property through seller financing with me putting up 5k cash. The seller will finance for 2 years with a ballon payment at the end or I will have to have refinanced by then. I buy and hold but have never had the opportunity to put property in my LLC. This deal will allow me to finally do that. Potential rent for property is 1k or more. Investment property(IP) price is 35k minor rehab of 5k or less. A renter can be in place in 30 -45 days.

I think it is a great deal and it establishes a relationship with the seller for future deals like this. 

Or do I go the traditional route and get bank financing in my personal name.

[Jackie Lange]

For privacy, you really do NOT want to put the property in to your entity. Any idiot can look on the Secretary of State web site to see who owns the entity.

It is much better to use a land trust for holding title.  Total privacy.

And you absolutely do not want to do seller financing with a 2 year balloon unless you have a buy-in clause to pay an extra $.... to extend for an additional 2 years. And another 2 years and another 2 years.  

In 2 years, we will probably be in the middle of a real estate crash.  The property will probably be worth less than you are buying it for.  So you need an extension.  But only take the extension if the cash flow is really really good. Otherwise, walk away.