Questions about commercial lending sequence and LLC partnership

[Andrew Myers]

Posted in General Real Estate forum as well.  

Hi BP community - Hope you can help! I'm wrestling with these questions.

I'm putting together an equity partnership to purchase a small multifamily property outside of my home state to buy and hold. I have partners/investors ready to go.

My questions are:

1. In order to obtain commercial financing (~20/25% down), do I need to create an LLC first so we can be underwritten as a business (LLC) - and then get pre-approved to purchase. This sounds like a "blind fund" - but what's the alternative?

2. If yes to above, registering an LLC out of my home state should be done in the state where the LLC will do business. What address will I use in that other state (if I haven't found a property yet)? I assume a PO Box, maybe?!

3. Should the operating agreement be put together when the LLC is formed and before we search for properties, or that better for another point in the process.

Thank you all!! And would love to connect with you.