All Forum Posts by: Jackie F.

Thanks @Brian Garrett

I was thinking the same thing but was not sure what industry trends were.  I have several buy & hold properties so I have experience.  I was also thinking of paying lower rates, but paying a percentage of profit on the refi.  This may disappoint my investors but give me some room on the front end.  Anyhow, thanks for the advice.  I'm putting together a business plan for my investors.

I am getting ready to launch into my first BRRRR. I am going to use hard money lenders and will be collecting capital funds from 2 family members. What type of returns should I be giving them? They are not partners, I am simply using their capital to help seed my hard money loan and/or for repairs.

I would like to hear what returns other investors are giving their family members on these types of deals.  Thanks.

@Jeff V. This is mind blowing.  I was not aware of the different credit reporting bureaus for LLCs.  I will look into DUNS.  I assume there are additional fees for that.

Funny thing is that I got a letter from them this week and I tossed it as a marketing thing.  I will read up on them.

Thanks @Michael Garofalo

Great stuff.  I am searching for local lenders but will collect more information first.  I want to be armed and ready to have an intelligent conversation with the lender.

Hi BP,

I currently have 4 rental properties with mortgages under my name. I am looking for my next property, but would like to finance it under the name of my LLC. All my LLC has is a credit card. I only have 1 year of tax returns for my LLC, but have over 5 years of personal tax returns with my 4 rentals. So I have rental experience.

I have a regular W-2 job with good income, good credit and no debt besides mortgages.

What is the best way to establish credit for my LLC to make financing easier? As I stated, my LLC has one credit card. How hard is it to obtain reasonable financing terms for a property under my LLC? Do i need another year of tax return? Are terms worse with an LLC than personal investments?

What are the pro's and cons of LLC financing vs personal?

I have heard about small banks offering loans to LLC's, but I want to educate my self first before reaching out to a bank.

Any information would be greatly appreciated.  I really need some guidance.

That's great news.  So I am in the clear for most of the capital gains and only have to pay taxes on any depreciation.  As along as I meet the 2 of 5 rule.  I will discuss this with my accountant in a few weeks and then decide how to proceed.  I am working with a 1031 exchange now and it is very constrained.  I am not enjoying the process but am happy I have an opportunity to sell one of my previous homes without having to deal with a 1031.

Thanks to everyone.  Great feedback.

I know I can ask my tax accountant, but wanted to get a general feel for what I am thinking of doing.

This home was my primary residence for 3+ years then it became a rental for the past 1.5 years.

How does the capital gains tax work?  This is in case I decide to NOT use a 1031 exchange, which is still an option.  But if I simply want to cash out my profits, how much is taxable?

Thanks guys... good info.  I was able to confirm the extended date with my "QI".

@Dave Foster Thanks for quick response.  What is QI?