Using A Legal Entity To Buy Property
Hi All,
How does one buy a property that cost say 200K with a new formed LLC?
And if I can't buy the property with my LLC but hold the Property in my name, won't my assets be vulnerable.
Thanks
Chi
First of all if it is a newly formed LLC you will most likely have to purchase the subject property using your personal guarantee since your LLC most likely has not established credit.
You basically are guaranteeing that if the LLC does not pay you will so yes your assets could be on the line to the lender.
How easy is it to get loans with an LLC that has no credit and even if I am guaranteeing the loan personally.
Ciroma
Ciroma,
Well this is simply not a black and white issue as it all depends upon your credit score, income to debt ratio, loan to value, down payment and the list goes on.
What I am trying to teach you is details without all the details we will just have questions.
You first need to establish what you want to do! Buy, sell, hold!
What your options are with credit!
What your game plan is!
What experience do you have with real estate investing!
And the list goes on!