I'm unclear if this is possible or is but very difficult- that is purchasing an investment property within an LLC that has a mortgage. I've read that it requires lender approval. I'm not sure how hard this to get or what other factors are involved. I'd appreciate any info. Thanks!
Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
11mo
Sure you can absolutely do this. However if the LLC's purpose is asset protection, then the borrower on the mortgage needs to be the LLC. If you personally are the borrower, then the LLC is easily pierceable since the owner of the property, and the borrower are 2 different individuals.
Additionally, make sure the insurance is in the name of the LLC. Ive seen people who have the insurance in their name, the house burns down, then the insurance denies the claim because the policy holder is not the owner of the property.