All Forum Posts by: John Lee

I want to run my structure by the BiggerPockets family. Please judge and critique away. Any advice and views are appreciated.

I have a mortgage on the property and the title and the mortgage is 100% under me – this will not change – I want to keep the title under me.

I leased the property out to my LLC. I have the lease documents; I do LLC minutes and go above and beyond to keep my personal and LLC separate. I do want to have an LLC.

The LLC then sub leases the property out to the tenant. And a property manager over sees everything.

I also have landlord insurance under me. The LLC does not have any insurances and only act as the middleman.

The contract is between the LLC and the Tenant, overseen by the property manager.

The tenant will pay the property manager, the property manager will pay the LLC and the LLC will pay me and I will pay the mortgage.

I want to run my structure by the BiggerPockets family. Please judge and critique away. Any advice and views are appreciated.

I have a mortgage on the property and the title and the mortgage is 100% under me – this will not change – I want to keep the title under me.

I leased the property out to my LLC. I have the lease documents; I do LLC minutes and go above and beyond to keep my personal and LLC separate. I do want to have an LLC.

The LLC then sub leases the property out to the tenant. And a property manager over sees everything.

I also have landlord insurance under me. The LLC does not have any insurances and only act as the middleman.

The contract is between the LLC and the Tenant, overseen by the property manager.

The tenant will pay the property manager, the property manager will pay the LLC and the LLC will pay me and I will pay the mortgage.

Hi all,

Will lenders look at the just minimum mortgage payment that's on my credit report or will they include the HOA and home insurance (Those 2 are not escrowed) in my debt to income ratios when they're qualifying me for the second mortgage.

I'm looking into buying a second home as my primary residence and renting out the first. I don't plan on using the rental income to qualify because I don't meet the criteria. But my only question is that will the lenders include the MINIMUM payment that's due for the first mortgage each month ($1400) in my debt to income ratio. Or will they also include the HOA and home insurance ($340) in the dti too when qualifying Me for the second home as a primary residence. I'm planning on using Bank of America for the second home. First is with Wells Fargo. Probably an FHA.

I'm having difficulty getting a mortgage under an LLC. Even with a personal guarantee, I am getting horrible rates and some saying that I can get it. When I called up my lender (Well Fargo) they said I can't refinance under an LLC but I can transfer my title under an LLC but the mortgage would still stay under me.

I was wondering if anyone can talk about the pros and cons of if I just put the title in an LLC – taxes, liability etc. The rental contract for the tenants will be with the LLC but the mortgage is still under my name. My biggest thing is liability protection. I'll also have an umbrella policy but I want protection through the LLC.

Also, if I personally guarantee a loan, does it still show up on my credit report?

I pay for internet, gas and electricity each month but the bills are under the tenant's name. He reimburses me for them but I'm the one making the payments. I'm adding his reimbursements as income but can I deduct these utilities?

Similarly, can I deduct mileage/car related expenses on my taxes if the car is under my moms name. The loan and the title is under her name but its my car and I pay her each month for it.

Or does all this needs to be under my name for me to deduct them?