Financing LLC owned properties

[Toni Annis]

New to investing and have a question on financing LLC owned properties. My husband and I bought our first property in May. Our plan was to rent it but now it looks like we will be selling it due to an offer we just can't refuse. I already let my banker know that we will be doing a 1031 exchange. One thing he cautioned me on was that when we do the 1031 the new property will also have to be owned by the LLC which means that he will not be able to offer a fixed rate mortgage on it. He will only be able to fix the interest for five years as opposed to 30 on a mortgage to an LLC. This didn't come up with the first property because it was a trailer house lot so it only qualified for a 15 year unfixed loan anyway. My question is... Is there a way to put your properties into your personal name but still have the protection of the LLC? We want the protection of the LLC but not having a fixed rate on the mortgage makes us a little nervous. Any input would be greatly appreciated!

[Andrew Postell]

@Toni Annis are we 100% sure that a 1031 exchange needs to have the property in a LLC if you sold in a LLC? Bigger Pockets has an entire forum on 1031 exchanges...it might be good to ask that question there first. Are you using a 1031 Exchange company...as in, someone who is assisting you in structuring it properly? I would be they would know the answer if you are using someone. Find that out first. You can finance loans in an LLC but they would not be conventional loans. I would like to know if the LLC thing is true though.