All Forum Posts by: Andre Taylor

I have been debating on converting all my loans into a commercial loan. I have 5 multi family properties and I am currently doing a cash out refi on one of them now and its a pain jumping through the hoops with the bank since my tax return from two years ago show a major lost which was due to a massive renovation I done on my quadplex but it throws my debt to income ratio out of whack so I have to provide pics and receipts just been a pain so talking with a local bank I was presenting with the option to wrap my loans into a commercial under my LLC to allow for more flexibility to buy more properties. I am really considering it.

My question to anybody that is doing this...is it easy to leverage equity to buy more properties under the commercial loan?

@Phil Shearcroft technically you supposed to get permission from your lender to put the properties under an LLC if you the mortgage is in your personal name. Now no mortgage company will officially sign off on that as they have literature in your mortgage documents to call the loan if they suspect something like that to happen.. but lenders will verbally say is " in all their years they have never seen that happen.. and as long as you pay your mortgage that's all the bank cares about" Now what I been learning is that even though you put it in an LLC and have separate bank accounts that you still don't eliminate your liability completely. One thing I am talking with a lender about is wrapping all my properties into one commercial loan under my business name... where one all my loans will be off my personal name and clean up my debt to income plus it will give me complete liability protection with the properties 100% being under my company name and not my personal name.

Has anybody dealt with any local Hard Money Lenders?

@Vincent Ballew you might want to look into wrapping all of your investment properties into one commercial loan that will be under your LLC name. I am running into that same thing as well and have been talking with local banks in my area about better options so I can continue to grow.

@Nicholas Covington  stands for St Louis

Any STL investors have a perfer hard money lender they can recommend?

What about being able to have the loan under your business name vs your personal name from a liability standpoint?

Has anybody went from having multiple mortgages on their properties to wrapping them up in one commercial loan? If so what are the pros and cons?

you always set the standard... as the landlord.. you can go back and start to really enforced paying on time and imposing those late fees. It goes back to laying the ground rules out prior to the tenant moving in. I always informed my tenant that I am Fair and Firm and if they expect me to jump out of bed if say their furnace go out.. then I expect that same energy when it comes to paying rent... and if its late...don't call me with personal issues just pay the late fee. I tell them until the bank opens up a pity department to hear my excuses.... then I do not want to hear theirs....still in all life happens and still have to understand they have to pay their rent on time

One of my investor friends is dealing with this issue and what she done with her tenants was have them sign an agreement to pay their bi weekly and she set it up where the day to pay falls on their payday and so far its been running smooth and its been on time .