New LLC line of credit
I have a property that I’ve recently acquired. All of the 11 windows seem to be the original install from 1943 with the counter weights in the walls and everything. After the window replacement, some cosmetic work, leveling, and rewiring the house will be livable and ready to rent.
My question is after I finish establishing the new LLC and have the property transferred to it, how do I apply for a line of credit to afford all the work to be done? The LLC could use the house as collateral for a secured line but we have no revenue or business credit as of yet.
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@Jerry Hodges, how did you buy the property? Cash or do you have a note on it? If you paid cash, just ask around for referrals to small banks or credit unions that have setup LOC's for investment properties for other investors. Then just call them and let them know you have a property you'd like to get a LOC setup for. Get your LLC created, the bank will ask you for your personal financial statement and 2 or 3 years of tax returns. They will record a lien on the house with you as a personal guarantor when they setup the LOC. I do these all the time.