All Forum Posts by: Chelsea Allen

Hello again. I am looking to purchase a 2 door MF investment property in Florida under an LLC. I do not have the LLC formed yet. I am very confused about whether it is best to pay cash (which I would not have to borrow) and then do delayed financing , get a DSCR loan, or something else.

A local credit union also mentioned something called a "savings secured loan" which can be used for anything (even going on vacation), but I don't know if there are tax benefits to that and I don't think I can do that under an LLC. My concerns with delayed financing are the double closing costs.

I don't understand the mechanics of the different loans and what the tax benefits are of the different options.

Thanks to everyone who has replied to my previous questions.  There is so much information and the more I hear, the more questions I have :)

Hi everyone,

Who are some good landlord insurance providers in FL?  Appreciate any recs. 

Thank you. Aren't interest rates for DSCR loans typically higher than a savings secured loan? That is the other option I am considering if I pay cash for the multi-family unit and then pay myself back.

Hi if I am going to buy and investment property , put it under an LLC, what are the pros and cons of using a saving secured loan vs. delayed financing? The latter will have higher interest rates whereas the former has a 2% interest at my local credit union.
Since this is my first property purchase ever, I wonder how escrow accounts, etc for property taxes would work.  Appreciate any advice !! Thanks all!  

Hi there. I am currently doing my homework on how to obtain a loan under an LLC for an investment property that I would like to buy and rent out in north Florida. Any suggestions on specific banks that may be more apt to work with me in achieving this? Also I would want to put the property under an LLC but would only form the LLC if I buy the property (if that makes sense) so it's a catch 22.

Can I get a loan under my own name and then transfer it to the LLC? Or pay cash and then refi under an LLC ?

What makes most sense ? 

This is all great info. But what if one will only create the LLC if the offer goes through on the property? Then is it wise to buy the home with cash , and then do a cash refinance or delayed financing under the name of the newly created LLC?

I don’t have a contract yet. Should I ask my real estate agent about it? What is her incentive to put that clause in there? I would rather have a lawyer review 

But is it possible the seller makes a clause that a lower price will not be honored based on the appraisal  or can I just walk away if they don’t agree ? 

If I make an offer which is contingent upon satisfactory appraisal and inspection, what happens if the appraisal value is lower than what I offered.?

Say I offer $100 and the appraisal says the property is worth $80, can I negotiate lower at that point? 

Thanks. 

Thank you both. Those replies are very helpful.