All Forum Posts by: Harry Nima Zegarra

@Jon Reed can you please explain about commercial lines of credit, are you paying that like a mortgage in 15-30 years or is more short term, kinda for a flip or something like that? my credit is very good... and in theory I could buy cash, but as I am learning, I want to leverage my money to try to up scale faster..

@Ronald Rohde oh man, it was painful just to open a simple checking account, like they don't want to take my money... one even asked for articles of formation for each cell (which of course is not possible)... kinda OCD when tracking my documents thankfully, do you have any preferred lender here in Dallas? 

Hello guys,

So, following my Series LLC journey... I have some money saved and would like to put that for downpayment and reviewing previous post I assume that getting a loan (mortgage) for a Series LLC will be even more difficult that for a regular LLC (which apparently is already tough). I struggled for about a week or two just to get checking accounts for my Series LLC cells. I assume no big/national bank will do it. Any leads on whom should I ask? small local banks, other lenders?

I understand I cannot get the mortgage myself and then transfer it to the LLC neither...

Ok! Happy End, I was able to open bank accounts for 2 of the series LLC....

As I said, personal bank is CHASE, and they don't do it; Bank of America said no; Wells Fargo asked for Certificates of Formation of all the Series LLC (which by definition is not possible as there is only one for all the series); IberiaBank is still reviewing the paperwork haha

At the end it was Bank of Texas it took about 24 hours (mainly because I didn't have enough time yesterday)! Thank you all for the advice!

Very interesting.... my accountant told me I NEED one bank account and EIN for each cell of the LLC that has a property .... otherwise it defeats it's purpose: to have the properties separated and any liability won't affect the other ones (which would happen if everything is together and in the same bank account)... may be an overkill though... I heard and know from investors that have even more than 10 properties in just a regular LLC...

Totally agree with Kris, this is a relative new tool and many Banks don't understand and the IRS still hasn't figured it out yet either... 

Thank you Agnes, you are right: I committed the mistake to buy the first property under the mother LLC, my lawyer just transferred it to Series A.

If I may ask when you say "Then my lawyer goes to the Secretary of State TX to legalize the "business"... my understanding was that those series LLCs are already created and you don't need anything other than getting an EIN (depending on how many series LLC your lawyer created when you formed it, it is already specified in the articles of formation)...

Also "I usually move the money to my account then into the new LLC as an "owner investment".... do you need to pay taxes when you get the money from your LLC to your personal account before you move it back to the new LLC?.... thinking that you will move the same money and maybe even more to reinvest...

Thanks for your input

@Bruce Lynn

Thanks so much for the advice, if not able to open with IberiaBank by Tuesday will move on and try again with Wells Fargo and the other local ones...

Hello guys,

New in Real Estate, started last year and opened a series LLC. Initially (as I am still learning about this) bought the property, got the Tax ID and opened the Bank account under the "mother LLC"... now I am planning to buy a second property and was trying to open bank accounts for Series A, B, etc (with it's respective Tax Ids)... it seems that most Banks don't do that; CHASE and Bank Of America said no immediately, Wells Fargo still reviewing my "articles of formation" I guess... I contacted IberiaBank and it seems they may be able to do it, although today they ask me more questions regarding the LLC and told me they will have an answer hopefully for Monday/Tuesday.... anyone has heard about Banks here in Dallas that offer these kind of accounts? Thanks!