There is one IRS-approved method for building or improving that uses 1031 funds.Construction 1031 Rules and Process In a nutshell, it goes like this:You go under contract to purchase the replacement lot in OklahomaA 1031 company creates a brand new LLC to act as holding company (Exchange Accommodation Titleholder)You enter into an agreement with 1031 company outlining your plans in the construction exchange You assign the purchase contract for the lot to the new LLCYou arrange financing for the LLC to purchase the lot (this loan can be from you, a third-party lender, or your 1031 sale proceeds)Loans to LLC is secured by Note and Deed of TrustLLC buys the lotNow the LLC can begin paying for improvements to construct the barn-condoDuring the building period, LLC rents back to you and makes you "Project Manager" to oversee the improvements.Once improvements are completed -- or at the end of your 180 days -- 1031 company assigns ownership of the LLC to you. 

My HELOC is with US Bank and they offered me the option to go fixed at 6.5% for the next 20 years which is clearly not enticing so I'm hunting for good, cheap investment loans.The property is titled in my wife and I's family trust, but we would like to move it into an LLC for asset protection.

Bought property under LLC and paying higher rate as commercial. 

As for my real estate investing business(s) I hold properties in both  a 'regular cash LLC' and also 2 other LLCs, that are owned by my SDIRA and my SOLO401K.

End GoalLand trust - they get equity and live thereLong-term rental into more rentals into multi-familySell the home, split the profits, and part waysMy question is can my LLC cosign an FHA loan with our friends, and split the equity and cash flow.

I had an LLC set up along with being pre approve.

There isnt a standardized form, you can have an attorney create one specifically for you/your LLC to use or you can download one from the Bigger Pockets downloadable forms section and make any necessary changes.

If it is a single member LLC or multi-member LLC, the taxation is different.

Recommendation #1, get an operating agreement and and LLC quick.

Can anyone speak to the process of purchasing a property via an LLC?