Investor · Eastlake, OH · Member since 2015 · 4 posts · 1 vote
I own my home free and clear. My credit isnt great. I have an llc. I keep striking out on an heloc. I want to buy my second property. Can i sell my home to my business? And use that to get money from a loan? Anyone have any advice or experience with this? Thanks!
Investor · NOVA, VA · Member since 2014 · 99 posts · 101 votes
9y
@Antonio Lunato, don't give up. It may just be time to move on to private or hard money folks who are willing to work with you if the project's numbers add up rather than your personal credit score.
Let's not kid ourselves; banks are probably the worst funding partners we could have. They have little flexibility and even less imagination. Their customer service is terrible, their balance sheets atrocious, and, in their spare time, they have become the Barney Fifes of the financial crimes enforcement world.
It is ironic they are concerned with your credit profile from 6 years ago. They were just exiting bankruptcy themselves; the beneficiaries of a tax burden placed on future generations. And while you are out there trying to better your situation, they haven't changed their former ways at all.
Property Manager · Virginia Beach, VA · Member since 2016 · 2k+ posts · 2k+ votes
9y
If you don't have the right criteria personally, it won't do you any good to retitle the house. You have to submit all your tax returns, personal and business, when qualifying for a loan unless you are a huge company. The bank is going to want a personal guarantee. I'd suggest you focus instead on fixing your credit.
Midland, TX · Member since 2017 · 6 posts · 0 votes
9y
have you tried any other types of loans, like a piggyback mortgage. Or with maybe Fannie mae or Freddie mac? If your fixing up your next house maybe a 203k loan will help. maybe you have already done all this IDK. try calling around to banks and lending companies and see what you come up with.
Investor · Eastlake, OH · Member since 2015 · 4 posts · 1 vote
9y
Hey Patti! Thanks for your insight. I feel like that is the one thing holding me back. My credit score is not great because i went through a bankruptcy almost 6 years ago. Ive been living a debt free life since then. Do you have any suggestions on how to build my credit score up fast?
Rental Property Investor · Edison, NJ · Member since 2016 · 753 posts · 565 votes
9y
You could take out a credit card, use it, and pay it off monthly so that you can build credit without going back into debt. If you are not able to obtain a regular credit card then start off with a secured credit card until you are able to obtain a regular credit card.
Be careful though about applying for multiple accounts though because too many credit inquiries will hurt your score further.
Investor · NOVA, VA · Member since 2014 · 99 posts · 101 votes
9y
@Antonio Lunato, don't give up. It may just be time to move on to private or hard money folks who are willing to work with you if the project's numbers add up rather than your personal credit score.
Let's not kid ourselves; banks are probably the worst funding partners we could have. They have little flexibility and even less imagination. Their customer service is terrible, their balance sheets atrocious, and, in their spare time, they have become the Barney Fifes of the financial crimes enforcement world.
It is ironic they are concerned with your credit profile from 6 years ago. They were just exiting bankruptcy themselves; the beneficiaries of a tax burden placed on future generations. And while you are out there trying to better your situation, they haven't changed their former ways at all.