Obtain Loan for Cash Purchase
I am getting ready to purchase a rental property for cash through an on-line auction for $34000. However I want to finance it at current market value "Apprised Value" which is to be expected to be about $75K to $80K. Taking the lower of the two amounts $75K and with LTV of 80%, the loan would be about $60K. This would leave $26K for my next deal, if I can take cash out.
Some the research indicates that lenders are requiring "seasoning" for investment properties loans, meaning that I must be on the title for 6 months before I can finance the property. I am purchasing this property under my name, however I want to move it into an LLC for asset protection; would I then have to wait for the 6 months prior to financing the property?
Please note: I currently have 5 loans (1 home - 4 rental properties)
I know flippers/wholesalers do this with hard money loans; but I don't see how this is any different, except I want to keep the property for cash flow.
Any advice would be greatly appreciated and thank you in advance