Is financing always going to be in my name?

[Kregg Soltow]

Thank you everyone in advance. I'm just starting out in real estate investing and for the past 6 months I've been challenging myself to learn everything and anything I can about it. First of all, I appreciate the saftey aspect of forming multiple LLC's to protect my investments, but as I am just starting out, I'm wondering how the financing and title holding gets done. My plan is to finance my first few investment properties with capital provided by a HELOC out of my current residence, but how do I transfer those properties to an LLC (or individual LLC's) without the lender considering the transfer a Due-on-sale event? And furthermore, how will future financing be carried out, will I - personally - always be the one applying for the loans/financing? Does my future "business" ever become the borrower? Again, thank you all in advance, BP has quickly become a cornerstome to the development of my investing knowledge.

[Brie Schmidt]

@Kregg Soltow If you get a residential loan then everything will be in your personal name. Even if you transfer title to the LLC it will not provide much asset protection because your name is still on the note and they can easily tie it back to you. At a certain point you can start getting commercial loans against your LLC - but you must have a solid track record and then you can refi everything commercial into your LLC - But the loan terms are less favorable