I love the idea of your LLC lending to you in your individual name in order to get a conventional mortgage (better terms than portfolio).I looked into this a little bit last year and one of the potential issue I found was the language of "arms length transaction" from the borrower.There's a good chance that I didn't understand what it meant but basically I understood that the owner (members) of the first lending LLC couldn't be the same as the borrower.?

Originally posted by @Cliff T.

Deposits are meant for incidentals and in many states are not able to be used towards rent. 

Finally over the last couple of years I was able to turn the corner and was finally ready to take the plunge, but living in Southern California meant I needed to get over the Out of State investing hurdle. 

That's not what I meant.

@Brad T.

These PGs mean NOTHING without a high net worth and are only meant to be used in cases of deficiency - meaning the collateralized subject property doesn't have enough equity to make the creditor whole.

Market value is what a willing buyer will pay a willing seller for the property evidenced by the Purchase & Sale Agreement.To be fair, you didn't say any of those things, so this isn't meant to challenge you. 

Hey @Niboom T., we have a lender in our network that just helped a client with a similar situation.

Renting isn't meant to be permanant, but the people who get such good deals from their landlord on below market rent have no issues making it permanent.