Best Bank for Real Estate Investing LLC in Memphis, Tn

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Best Bank for Real Estate Investing LLC in Memphis, Tn

Fernando Parker
Investor · Memphis, TN · Member since 2016 · 24 posts · 27 votes

Hello BP. I just finished up the licensing/tax EIN requirements for my LLC (which is based in Tennessee). I have a couple of potential deals in the works, but I haven't chosen a bank in Memphis. Do any of you have recommendations for a good local bank in Memphis? I'm buying in cash now, and will cash-out re-fi in 1 year. Since I live abroad, I need to be able to make the majority of my transactions online, and will need a reasonably responsive customer service team. I'd like to stay away from the bigger banks. Any recommendations would be a great starting point for me. Thanks guys!

-Fernando

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Douglas SkipworthBusiness Member
Rental Property Investor · Memphis, TN · Member since 2014 · 1k+ posts · 1k+ votes
10y

Hi, @Fernando Parker.

I am happy to introduce you to a local bank that will look at financing your properties.  Please send me a private message.

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  • Curt DavisBusiness Member
    Flipper/Rehabber · Memphis, TN · Member since 2008 · 5k+ posts · 2k+ votes
    10y

    gonna have a hard time with a lender making a loan to your LLC. Check out LimaOne Capital. Good luck

    Curt Davis - KAIZEN Realty538 Reviews
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  • James Martin
    Property Management · Memphis, TN · Member since 2009 · 668 posts · 362 votes
    10y

    Hello Fernando! Just like the business of real estate it's all about building relationships. I've had much success in the past years with small local banks. The programs that I utilize are non that they promote and each institution lend differently. Basically, each bank that I work with looked at the financial stability of me personally and the strength of my company. After looking at real numbers both the bank and I negotiate lending terms & criteria that made sense for both parties. What I found is when one bank wouldn't lend a particular way another one would. Even though I have a LLC I also have a DBA as well. This way even though I'm the personal guarantor of the loan I'm able to purchase as the DBA. To your answer I'm not sure if they can be of help but reach out to Rod Loggins at Patriot Bank.

    0Reply
  • Douglas SkipworthBusiness Member
    Rental Property Investor · Memphis, TN · Member since 2014 · 1k+ posts · 1k+ votes
    10y

    Hi, @Fernando Parker.

    I am happy to introduce you to a local bank that will look at financing your properties.  Please send me a private message.

    Investor's Guide to Memphis Real Estate
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  • Teresa F.
    Residential Real Estate Broker · Clinton, MD · Member since 2008 · 297 posts · 178 votes
    10y

    Hi Fernando!  My LLCs use BB&T.  They were more than happy to give by LLCs loans collaterialized by real estate.  They have also given me a signature line.  I have relationships with a few banks but BB&T is a standout in going that extra mile to create solutions for me.  Good luck.  Teresa

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  • Nick Gibson
    Contractor · Memphis, TN · Member since 2015 · 8 posts · 1 vote
    10y

    hi Fernando, I had to talk to a lot of different banks in Memphis to find one that was willing to help a new LLC. Most that I talked to wanted at least two years of tax returns prior to lending to an LLC. Slightly different as I was looking for line of credit for my new construction business, but was told by numerous banks that they required two years established. I'm now looking to flip houses in addition to my normal contracting business and have had a little trouble as well finding financing for them. I have some capital and a line of credit, but not enough to fully fund the purchase and rehab. I'm looking into hard money as an option but would like to find a local lender that I can meet face to face with. My advice would be to start calling the local banks and you will probably hear a lot of "no's " like I did. Pinnacle bank is the bank I use for business banking and they were the only ones willing to help me early on.

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  • Fernando Parker
    OP
    Investor · Memphis, TN · Member since 2016 · 24 posts · 27 votes
    10y

    Thanks everyone for the input. Much appreciated. Will keep everyone posted on the bank I end up with. I think my situation may be unique because I don't need any money from the bank, and likely won't need any until around this time next year. Hopefully I'll be able to build enough repoire with them in that time. 

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  • Alex CraigBusiness Member
    Real Estate Professional · Memphis, TN · Member since 2009 · 1k+ posts · 1k+ votes
    10y

    @Fernando Parker you can buy and finance in an LLC, but your underwriting is going to be based on your personal credit and financial statement. Bank TN has been very good at lending 80% of LTV on a 15 yr mortgage with 5 yr adjustment.

    901-848-9028
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  • Adam Summerer
    Lender · Franklin, TN · Member since 2026 · 132 posts · 38 votes
    1mo

    Split the problem: you need an operating bank for the TN LLC (wires, rent deposits, online access abroad) and a separate takeout plan for the year-1 cash-out. Plenty of local Memphis banks will open the LLC account if you can KYC remotely; fewer will promise a friendly investor cash-out later, so dont assume the checking relationship equals the refi. Line up a DSCR/cash-out desk early that will lend to the LLC at ~75% LTV class once rents are in place, and keep every rehab invoice if you want cost-basis credit.

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  • Jordan RayBusiness Member
    Real Estate Agent · Memphis, TN · Member since 2023 · 642 posts · 337 votes
    1mo

    Since you’re buying in Memphis and already thinking ahead to your cash-out refinance, I’d recommend talking with Ryan Guess at Northpointe Bank and Tim Smith at CrossCountry Mortgage about your long-term financing options before you start closing deals. Even though you're purchasing with cash today, I'd want to understand the seasoning requirements, minimum loan amounts, LTV limits, appraisal requirements, and what your refinance options will look like a year from now so you don't end up with capital trapped in a property. I'd also compare your cash strategy against using hard money, especially if these properties need renovations. The local hard money lender I use on my own Memphis purchases can finance 100% of the purchase and 100% of the rehab, with many investors getting into deals with around $10,000 out of pocket before refinancing into long-term financing, which can preserve a lot of your liquidity for additional acquisitions and reserves. Since you’re living abroad, I’d put a huge premium on responsiveness and online capabilities with whoever you choose because waiting days for someone to answer an email becomes a much bigger problem when you’re operating from another country. I’d also make sure you’re building the rest of your Memphis boots-on-the-ground team now—an investor-friendly agent who also owns rentals, a strong property manager, reliable general contractor, hard money lender, and long-term lender—and start getting familiar with ARVs, rents, rehab costs, neighborhoods, and market trends so you’re comfortable with both the properties and the people handling things locally. Feel free to reach out, talk soon!

    [email protected]662-642-1458
    Jordan Ray - eXp Realty5109 Reviews
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