All Forum Posts by: Toni Annis

Thank you Jerry!

We've found that financing for a new LLC isn't necessarily as easy and profitable as financing personally. We're new too and on our first deal but here's what we learned so far... Our bank was very willing to work with us on financing in the LLC name mainly because we have another business and have done our business banking with them for years. That being said to get the loan we still had to personally guarantee the note. Also financing in the name of our LLC means that our bank won't do a fixed rate mortgage. We did find financing companies through BP that will do fixed rate mortgages for LLC's but their rates do run about 2% higher than what our bank runs. Not deal breakers for us but definitely things to consider. There are pros and cons to doing it each way. Research and see what's best for you.

And welcome fellow Wyomingite!

@Kristen (sorry my tags aren't working on my phone). Good to know. Thank you for the local insight! Something we will definitely keep in mind when we get closer to considering there for investments! 

Welcome Kristen! My husband and I are also Wyoming newbies. We're up by Casper. My brother in law is a real estate agent in Salt Lake and I'll warn you prices are very high down there right now. He says it is a total sellers market right now with horses bringing $10k-$20k OVER asking price. People are getting in bidding wars to purchase down there. My husband and I have considered looking into investing in Laramie as we will have kids going to college in the next few years and figured what better way to house them than an investment property. (We were thinking duplex or four plex so they could live in one unit and rent out the rest.) Curious as to why you aren't interested in investing in your local market? 

@Dave Foster nope still didn't work. I don't know if it's my phone or what that isn't allowing the mention function to work. It's really weird. 

Anyway, yes the mobile home is affixed to the land and we pay regular real estate taxes on it. Thank you for that clarification I was a little confused as to how that works.

@Bill S. For some reason I for the life of me cannot get the mentions to work right. I don't know if it's because I mostly use my cell phone or what but they won't work.

Glad to run into a fellow rancher! We most definitely will not give up the ranch it's in our blood and neither of us could imagine being anywhere else. We are hoping to use the real estate to help support us a little bit and make ranching a little easier. As you know rich rancher is an oxymoron. If you're rich and ranching chances are you didn't get rich on the ranch alone. Our outfit is very small and barely makes enough to operate itself let alone support a family and to improve and grow. We're looking to change that. 

I will double check on the mobile home qualifying for the 1031 exchange. Really the exchange is on the lot though. The trailer itself just kind of goes with it.

Thanks to everyone on here who has offered up so much wisdom and great advice. I'm so glad I found BP!

Thank you all for your insights and advice. I do know one realtor that her and her husband invest in office buildings around town. I feel like she would probably be the one to use. I did also have one of the agents on town that specializes in commercial shops and warehouses reach out to me and offer his services.

I did finally get a hold of the one property manager in town that isn't also a realtor to ask his opinion on investor friendly agents. Come to find out while he isn't a realtor himself his office is affiliated with one of the real estate offices in town. He said most agents in that office are investor friendly and if you use that office he will go out as a property manager and give his own analysis on each property. Let you know what work be feels needs done and how much he can rent it for, etc. The first realtor I mentioned in this post works within his affiliate office. My only worry with utilizing this service is that he would then expect you to use him as a property manager. Any thoughts on this kind of arrangement? 

@Andrew Postell yes I am using an exchange company and they verified that yes the replacement property does have to go into the same name the old property was in.

@Al D. That is interesting advice. I might have to ask my attorney about the land trust thing. Maybe he will have a suggestion. 

We do have an umbrella policy so that helps. I wonder if with the umbrella policy for protection our properties be ok in our personal names so that we can get the fixed interest rates. Might have to do a little more investigating. 

At this stage I think we'll probably just go forward with things the way they are and try to get the property paid off in the next 5 yrs so that we don't have to worry about the fluctuating interest rates.

This is why we started on such a small scale after all... so we could learn the ins and outs with minimal $ at stake. It will pay to get the bugs worked out of our system on these smaller scale cheaper properties so we know exactly what we're doing and how to go about things when we begin to grow.

New to investing and have a question on financing LLC owned properties. My husband and I bought our first property in May. Our plan was to rent it but now it looks like we will be selling it due to an offer we just can't refuse. I already let my banker know that we will be doing a 1031 exchange. One thing he cautioned me on was that when we do the 1031 the new property will also have to be owned by the LLC which means that he will not be able to offer a fixed rate mortgage on it. He will only be able to fix the interest for five years as opposed to 30 on a mortgage to an LLC. This didn't come up with the first property because it was a trailer house lot so it only qualified for a 15 year unfixed loan anyway. My question is... Is there a way to put your properties into your personal name but still have the protection of the LLC? We want the protection of the LLC but not having a fixed rate on the mortgage makes us a little nervous. Any input would be greatly appreciated!

@Jonathan Greene. Thank you! I will read it today.

@Nick Tamar I would love to talk to sometime about self managing long distance. We live an hour out of town so have been nervous about self managing but have not really heard much good about the managers in the area.