Should I start a LLC to buy my 2nd property

Should I start a LLC to buy my 2nd property

Member since 2023 · 2 posts · 0 votes

Hey I am currently house hacking a home I own with my brother. I have about 50k aside and a 800 credit score but only made 30k on paper for the year. I'm worried I won't qualify for a mortgage because of my income. Should i look to start a LLC to buy my 2nd property ? Looking for some advice. Thank you!

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  • Bjorn AhlbladPro Member
    Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
    3y

    @Michael Chwalek welcome to BP. It will be harder to get approval as an LLC because it has no credit history whereas you have great history. Talk to several local lenders. Or look up top left, see the tab build your team there are lenders there. All the best!

  • Suzanne PlayerPro Member
    Attorney · New York City / Long Island, NY · Member since 2020 · 597 posts · 248 votes
    3y

    You'll want to talk to a mortgage broker or banker about what amount you can qualify for.  Have you considered purchasing outside of the NYC / LI area?

    Also, what is your savings rate? How long before you accumulate another $50k?  Would your brother be involved as well?

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