LLC for rentals, getting financing?
Hello,
I was looking through the forums about this, but nothing I saw was exactly on this topic. So, I'm sorry if this has already been covered!
I'm just starting out, and I have one SFR that has been rented for years. My taxes and funds have all been heavily mingled since I haven't had any entities. Now, I'm beginning to pursue other properties and want to establish LLCs to hold everything. I want to strictly adhere to no co-mingling of personal and business funds.
I was at a bank just chatting with a mortgage officer recently, asking about financing MFRs and the formation of LLCs. The officer said that they didn't think they would be able to finance a property that is to be held by an LLC, nor could they use the existing property as collateral if I do extricate it from my personal tax returns and move it into such an entity.
Has anyone had any experience with this/been told this? I feel like the person might not have been telling me the actual policy, but just what they assumed the policy was. They said they would investigate the matter and get back to me about it. I'm just looking for some examples that I can contemplate on for when they do get back to me.
To success!
Eamon