BRRR with an LLC or in Personal name

4 Replies

Is is easier to use the BRRR method when you buy in your name or can you use it when you buy in an LLC? Is it easier to refinance in an LLC or under your name or does it not matter? I welcome any advice. I have a house a purchased with the intention of flipping it therefore I purchased it in an LLC name. Since then I have been watching the Youtube on BRRR but I don't remember hearing whether this technique works only when you buy in your name and I was wondering since I heard it may be hard to refinance when you purchase in an LLC name. I wanted to have a back up plan of renting out the flip and refinancing out of the hard money loan just in case the sale takes longer and I have to rent it out in the meantime as a different strategy. Any advice you can provide a newbie would be great. This is my first flip and still learning.

Thanks

SS

You can do either. Depends on your strategy and the type of protection you want. An LLC for a rental is an added layer of protection (when properly set up). You can get a loan with your personal name or LLC. Lots of lenders out there willing to fund good deals/loans.

I used a hard money lender for my first BRRRR and they would only lend to an LLC. Further, an LLC allows you to open up a business account at a bank (protection), and also allows you to open up a Lowe's (or Home Depot) business account. This can give you discounts on items, and the larger the purchases, the larger the discounts.

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