House Hack with an LLC?

2 Replies

Hi there,

My wife and I are looking to break into real estate with our first investment of a house hack. Our question falls around the utilization of an LLC. I believe most (if not all) banks won't lend to an LLC so how do we make sure we protect ourselves from potential mishaps with our tenants?

Thank in advance!

Get proper insurance, also if you did buy in an LLC you would probably have a much higher down payment requirement in the neighborhood of 20-25% as opposed to 3.5% FHA

@Justin Rogers if you are planning on living in the property, an LLC will not offer much, if any, asset protection because it is your primary residence. For a house hack, your best bet is to buy it in your name, then when you are ready to turn it strictly into an investment property, transfer it into an LLC.