Real Estate Investing with a partner

2 Replies

I am a first time real estate investor living in Chicago, IL and wanting to buy a multi-family property in St. Louis, MO with a partner. I am originally from St. Louis and my partner lives there and he is also my cousin. I am wondering what the best business structure is for us as far as setting up an LLC or not. If possible, we want to keep our down payment to a minimum. Is it possible to get an FHA loan through an LLC? Also, would love some input on someone who has invested with a partner.

Originally posted by @Jeff Schnoebelen :

I am a first time real estate investor living in Chicago, IL and wanting to buy a multi-family property in St. Louis, MO with a partner. I am originally from St. Louis and my partner lives there and he is also my cousin. I am wondering what the best business structure is for us as far as setting up an LLC or not. If possible, we want to keep our down payment to a minimum. Is it possible to get an FHA loan through an LLC? Also, would love some input on someone who has invested with a partner.

FHA lends to individuals not companies. We've invested with partners before through LLCs. With regards to keeping your downpayment to a minimum, it's going to be 20% down.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

We hate spam just as much as you