All Forum Posts by: Brent P.

Although I did see some posts about SDIRA VS alternative accounts for straight investment properties, I didn't see anything for this.

I've found a two unit property (potential to convert basement to make three units), which I am going to make an offer on, and reside in one of the units. Because it is owner occupied I'm guessing that the information in the previous thread doesn't necessarily pertain. From a tax and investment standpoint, what's going to be the best rout?
My intention is to purchase it with FHA financing and only put 3.5% down. Hopefully that isn't a road block.

I appreciate your help.

Let your mortgage broker know your priorities before he submits your loan to a lender. If you're not going to be upset about .125% rate difference, there are several lenders that pride themselves on two day turn around. Also, lenders post their current turn times daily, so your broker should have some type of expectation.

I am just trying to figure out if a strategy like this COULD work.

It seems that the requirements for down payment on a commercial, multi-family is typically between 25-30%.

I do understand that seller carry back loans are no longer permitted, but what about a 25-30% ownership in the LLC that I use to purchase the building? My thought would be to obtain transactional funding for that amount, have the seller cover it after closing, and agree on repayment for his x% interest in the LLC.

Now I'm sure that this has red flags all over it, but is anything like this feasible?

Thanks