Holding property and personal finance
Hi Everyone, new to these forums and new to investing but not new to residential property. I'm a general contractor with lots of experience in remodels and some flipping.
I'm considering starting to hold renovated or new construction properties. My biggest question right now is how it affects my personal finances.
Just to use round numbers say we build a new construction home and we are 300k all in . We get it appraised for 400k and I want to cash out refi at 75 percent to pull all my capital back out. Leaving 25 equity in the house as the down payment for the refi. Sounds straightforward? Say I do 2-3 of these and hold them but then I want to sell my personal home and buy another one. Are all those loans going to hurt my personal ability to purchase a primary residence? Does this change if I start a separate LLC for the rental properties?