There are loan options for this as well that will lend on the property and the renovation as long as it conforms to 70% ARV. 

The future will of course not necessarily conform to past history but the rate of appreciation in the Bay Area since I have been investing here (1997 was my first purchase) has been simply astonishing. 

@Ryan Faheybottom line:  legal entities are NOT eligible for conforming residential loans. 

But since it conforms to your own opinions, you want to follow it.

Many will sell their loans on the secondary market - so the loans have to conform to what the market is willing to buy - which isn’t 2nds.

need separate bank account and probably credit card; need to keep all the funds separate; need to get commercial financing so generally worse terms/rates (granted, right now rates are dislocated, but an 1% here or so over years adds up) and prepayment penalties; commercial financing I think generally comes with points where conforming loans don't have to have points; personally i find it a "drag" on funds since you need to leave money in the LLC(s) bank accounts for variety of reasons to operate and protect the corporate veil;

@Matt Smith the reality is that Chicago is full of "non-conforming" units.

This allows me to keep my paperwork fresh, add any changes I need or to use an updated lease that conforms to ever changing state and federal laws.

Its a good back up plan either way.You could even do regular conforming loans. 

Bank loans or conforming loans may work for properties that are habitable and not in need of significant renovation.