If you had a rate of say 6.5% that will be a guaranteed return of that same amount by paying them down.

It is very difficult to obtain a loan directly in the name of an LLC that in all likelihood, the lender would require personal guarantees, meaning your personal credit is still tied up. 

It is very difficult to obtain a loan directly in the name of an LLC that in all likelihood, the lender would require personal guarantees, meaning your personal credit is still tied up.You could always sell the property and take your earnings and go your separate ways. 

The funds needed to be the sponsor include the syndication costs (attorney) and the likely hard money for the seller; the deal will need to be guaranteed, but you can enlist investors to help with that. 

That loan is guaranteed to lose money if inflation exceeds 3%. 

in the last 6 months my 401k only earn 3.51% interestAlabama guarantees a minimum of 12% unless you bid it down for a Tax lien sales.    

The IRS gives you a safe harbor and guarantees your intent.3.

I think your biggest downside is probably taxes but I can’t guarantee there’s a difference in taxes I just assume there probably is with condos versus one building. 

So properties have different underwriting models based on credit tenant type, stnl or mtnl, how many primary years left on the lease, lease staggering, termination clauses, co-tenancy clauses, restrictive use clauses, lease guarantees for personal and corporate, disclosure of ongoing sales, association by laws, etc. 

If you're personally guaranteeing it, the lender can decide to report.