All Forum Posts by: Philip L.

@Cole Raiford when you do that method are you refinancing with the same lender? If so are they charging the fees again?

I wouldn't trust Fifth Third Bank to do anything, they are by far the most incompetent bank I have ever experienced

 

I really enjoyed the who not how book it's making me think in a completely new way.

Hey @Ryan O'Connor nice ...so in 5 years what does the interest rate move up to or does the bank decide that in 5 years? 4% that's a very good rate for commercial are you doing this through a credit union or bank?

@Ray Fisher I love seller financing deals if you can find the right person - I focus on getting as much of my money back out  

@Ray Fisher awesome 40 is my long term goal

@Daniel Hennek - yes just speaking with lenders over the past few weeks has been very confusing, partly my fault with the lack of knowledge for sure and using the wrong terminology has definitely derailed me on a few occasions.

Yes from what I have found so far I seem to be in limbo between the two industry's and this is part of my frustration.

Why use an LLC and commercial loan? well my initial understanding was liability (I now know there are other ways), I'm really trying to build a business more than just invest money, the commercial loans seem to have less limitations so a focus on the cashflow of each property not my personal income, unlimited mortgages not just capped at 10. I purchased the property in the LLC if I change it over to my personal name I've been told it will reset the seasoning period back to 6 months also some of the lenders I have spoken to don't even have a seasoning period and I like the ability to move forward without having to wait

@Chris Turek That's awesome and very inspiring to hear, I've taken a look over their website and it says for businesses based in New Jersey however I will send them an email and try to track down more local banks in my area who offer this for Michigan businesses.

@Jason Wray Thank you that's been very helpful and I'm very pleased it is possible, I've spoken to a large number of lenders and getting a lot of no's or we only do personal loans or we only do 5+ units or more - I'll keep calling now I know it can be done.

@Marco G. Spoken to three CU in my area and two of them don't do inhouse lending and bounced me to an external company who only offers personal loans and the other one said all the right things at the start but insisted the property needs to be transferred into my personal name then said once that is done I will need to start the seasoning period again and after some questioning it turns out they only do personal loans! 

Wondering if this is possible or am I just wasting my time.

Is it possible to find a local bank or credit union that lends as a commercial loan to a LLC for single family homes?

If so is it possible to get rates 5% or below without crazy high fees?