All Forum Posts by: Rocco Swinney
Rocco Swinney has started 19 posts and replied 76 times.
Post: Obtaining a mortgage under an LLC challenges?
- Posts 78
- Votes 15
Originally posted by @Doran Summers:
@Rocco Swinney what’s your strategy? Long term or fix and flip? Do they need rehab or rent ready?
I have four rentals at this time, which all i try to buy with no to little work needed. My plan is to hold them all for long term renting
I bought one property, which i fixed up and flipped - then sold. It worked out well, but It was very time consuming. I think this is the way to go when you have the knowledge and time, but i rather spend the extra money for less work and/or spend more hours searching for the best deals
Post: Obtaining a mortgage under an LLC challenges?
- Posts 78
- Votes 15
hi Doran! I appreciate you responding. I havent dealt with hard money lenders nor am i exactly sure how the process works with them to be honest. It does seem like they charge super high rates from what i have seen online though
The lenders ive used are more smaller end banks, which exist in pa or only a few other states too.
Are you saying the LLC route typically only works with hard money lenders? Or there is a difference between the below:
1. banks
2. lenders
3. hard money lenders
If so, it sounds i need to find 2., which is in the middle of the banks (strict) i use and the hard money lenders with high rates
thanks
Post: Obtaining a mortgage under an LLC challenges?
- Posts 78
- Votes 15
Originally posted by @Doran Summers:
@Rocco Swinney did you speak with banks or actually hard money lenders? Lenders want and prefer to close I. Llc. Banks want you to close as individuals and max is 10 property under your name. If you wanting to protect your credit score then llc is way to go. Once you make a purchase under your name the dti ratio may hurt your score.
Post: Obtaining a mortgage under an LLC challenges?
- Posts 78
- Votes 15
Hi - i have been a landlord for a few years now and have few properties. I have been obtained them all under my name. I have used a couple lenders (no large banks) for these mortgages.
I was interested in starting an LLC and reached out to the lenders to see how it works with obtaining a mortgage (new properties id be interested in) under an LLC vs. my name. All of them (three) said they wouldnt be able to provide the mortgage if i wanted to purchase
Is this typically the case and one needs to use hard money when they have an LLC or did I just have an unlucky streak with the lenders i use?
Appreciate it
Post: Cash out refinance - interest deduction impacts?
- Posts 78
- Votes 15
Correction - Can i still deduct interest from rental 1. 80k loan and rental 2. 150k loan?
Post: Cash out refinance - interest deduction impacts?
- Posts 78
- Votes 15
Hi All! I purchased a condo unit about 8 years ago as a primary residence. I aggressively paid it off (while i lived there) before i made it a rental and have been renting it out for the last few years.
I was interested in doing a cash out refinance on it to purchase a few more properties. My question is does this impact deducting interest in anyway on this current property of any new property the cash is used for?
Ex. Say the property is now worth 200k. I do a cashout refinance of 80k and use 50k of it as a down payment on another rental that was 200k (total loan 150k)
Can i still deduct interest from rental 1. 80k loan and rental 2. 160k loan?