Limited Partnerships Starting Do You Need Credit History To Invest In Real Estate
I am in the process of forming a limited partnership for investing in real estate. I have two questions.
1.To begin investing in real estate as a new limited partnership will we have to make our first purchase in cash or will we be able to obtain financing. Can we get financing without using our personal credit history. If not how do you build the limited partnerships credit so that it doesn't rely on the individuals credit.
2. Has anyone had experinece in developing limited partnerships and what are the pros and cons 
It sounds to me like you're confusing this limited liability partnership with a corporation. A partnership is you and your partner going in personally liable. Basically limited liability can say that one partner is only liable up to the investment made, etc. Usually say if you had a money partner while you're doing the work. A corporation is its own entity, with you not being held personally liable. It can also establish it's own credit.
Chase
Ruman dun said it right.
For your situation I would suggest the LLC. You can build the credit and hid your scaggy self behind the Corporate Veil.
I have just formed a LLP and I do it for a reason. As General Partner I accept the liability and it is directed against me. The other Partners are limited and are protected against the slings and arrows. Only the original sum they invested can be lost and that pretty much falls on the actions of the General Partner.
The General Partner obtains any borrowings that are necessary. Also in this fair state of Calif. All the profits must be dispursed at the end of each business year. No hanky panky.
Does this help? Lucius da Gen.Ptr.
HI thanks for the reply yes the answers are very helpful. I assume and LLC will reguire a board etc. like a normal corp. However I like that the profits are disbursed at the end of each year it cuts down the management and allows each partner to reinvest or not. Did you choose LLP over LLC for that reason Under the LLP can you define clearly the ROI based upon each investors input etc.
"the slings and arrows of outrageous fortune"----who is Lufos-really, the Bard of Avon calling?? or a Full(er)-brush scholar"??
The other reason one would not use a
LLC in CA. is the cost ($800/yr). Also expensive in Tejas. I don't know if an LLP is any cheaper.