Borrowing from LLC to sidestep seasoning requirements?
Has anyone here had experience with loaning yourself money from an LLC in order to get around seasoning requirements for your refinance?
We are planning to use the BRRRR strategy, but trying to refinance as soon as possible. I read a BP post that spoke about creating an LLC to "borrow" from to finance the initial purchase. As long as that LLC loan is secured and recorded, you can (supposedly) do a rate & term refinance and avoid the seasoning requirements of traditional cash out refis. I spoke to a lender who thought it might work, but wanted to check with his underwriters before he would commit to taking it further. Just curious if anyone here has experience doing that, and whether there were any downsides to using that strategy.
Thanks in advance!