Property into an LLC

[Alvin Richmond]

From my research many institutional lenders dont lend to LLCs seeking a loan to purchase property. Is this true? If so, why do many suggest purchasing rental property via an LLC for protection for personal vs. business assets? Is it that most LLCs purchase property without an institutional lender?

[Jerry Padilla]

@Alvin Richmond

There is financing available, just at higher rates, with ARM's or balloon payments typically.

I wanted the lowest conventional rates, so we did conventional mortgages and an umbrella policy.

I would definitely recommend if you keep the properties in your name to get an umbrella insurance policy. To me it is much cheaper than an LLC with LLC Financing.