All Forum Posts by: Jonroy Connell

Yes. It is. The big picture is to have a LLC for each individual property that I intend to purchase, and one LLC to act as an umbrella over all of them, not sure if this is feasible or not. This is what is in my head but I 1: don't know if it is necessary, 2: too much of a financial burden for negligible increased protection.

Now back to my titled thread. Is there that much of a benefit of opening my LLC's in a place like Wyoming and Nevada? Are there additional cost that outweigh those benefits because I am doing business as a "foreign" entity.

Looking to be as efficient as possible. There are lots of threads. It can get overwhelming at times as it has me scrambling in one direction then another. 

 Because paralysis throught analysis. Sometimes the most common sense solutions are right in front of you. Anyone have thoughts on this?

Have not started yet. I have a few friends who have been successfully investing in the Tampa FL area. Anywhere from St. Pete's to New Port Richie. They have been using the same realtor and property management company with great results. I will start there because I have personal friends with a known "system" but I rally don't care where the investment is as long as the cash flow is there. I don't think they will travel outside that area.

@Corby Goade

How are you making out so far? I spoke with my banker, local Taxachusetts, who asked around on the commercial side of thing. He says some banks do not call the loans. He said I'll have to do my homework locally to actually know.

Where are you currently investing?

The one I currently have and going back to after the addition is a 20yr. Great rate. Prime -.5%.

And there's my catch. Now. I will have more than the stated amount of equity. How does my bank know what I am spending my HELOC on? Hypothetically speaking, I write myself a $100K check and deposit into my account. How can they differentiate if i boat a boat, car or anything else for that matter? I'm green here do bare with me.

Now, That was an unexpected answer. Once the asset is in the LLC, more probable than not, the lender will not refi money out? My plan is purchasing outright with the HELOC. The properties range from $40K - $70K. Upon rehab I plan to refi and put a renter in. Once the Refi is comple, then roll into the LLC?

And that makes sense. But, if I roll said entity into a LLC, they will not call the HELOC because it is still being paid, if I am understanding you correctly. If I do sell, and there is an unpaid balance on the HELOC, that the sale does not cover, then it would be out of pocket.

Hi all. Still new here getting to know my way around a bit. I will be gaining a significant amount of equity in my current home due to a great neighborhood and the addition I am doing. Starting to learn a bit more about the Due on Sale Clause. I was planning to use some of this equity to by my 1st, and maybe 2nd, buy and hold property. Now. Getting to the LLC side of it. I was going to eventually roll my properties into a LLC. I read about the lender calling the HELOC if I sold the residence the HELOC was derived from but nothing about if I roll the asset(s) themselves. Keep in mind, I dont plan on moving for a very long time.

Thanks for the input.