Been doing a lot of research and prep work and feeling ready to start putting offers. Few questions still.
1. If I use a HELOC or HELOAN from my primary residence to buy a rental, will the mortgage interest be able to offset the rental's income? (I have read it can't be which is why I'm at this point considering just going with a 30 year conventional loan and putting the 15% or 25% for SFH or MFH.
2. I'm based in California but plan to buy rentals in Cleveland Ohio. Where should I form my LLC? California or Ohio? Getting conflicting info.
Been doing a lot of research and prep work and feeling ready to start putting offers. Few questions still.
1. If I use a HELOC or HELOAN from my primary residence to buy a rental, will the mortgage interest be able to offset the rental's income? (I have read it can't be which is why I'm at this point considering just going with a 30 year conventional loan and putting the 15% or 25% for SFH or MFH.
2. I'm based in California but plan to buy rentals in Cleveland Ohio. Where should I form my LLC? California or Ohio? Getting conflicting info.
California LLCs are a nightmare. Most attorneys in California advise against them as they cost about $800/year, and you also have to transfer a property into your personal name before a sale, so they do not help with anonymity.
I suggest an Ohio LLC nested within a Wyoming LLC (set up through a registered agent service). If you are unfamiliar with the process, I would reach out to a lawyer to set you up correctly.