after i buy my investment properties—i might want to refy and/or get a HELOC is that possible when the property is in a land trust. 2nd—i keep hearing about “NOT” comingling monies–personal and biz. My confusion is the begining what is what ---- i have some $ to invest (personal) and am spending it --traveling to see properties, setting up LLC,etc. Will the “biz” pay me back—is it a personal write off----am i loaning money to REI biz—just want to do things correctly as possible— i know i will need to hire — a good tax guy --in time. In the mean time—does anyone have any direction?
hope this makes sense.
thank You
taylor
Hi Lucy,
I can answer as to the trust. Most lenders require that you dismiss the trust, refi on your own, then reinstate the trust. I have refinanced seven or eight times and the procedure is simple. Good luck.
Da Wiz
Da Wiz
you are the bomb—again thanks so much for your time!!!
namaste
Comingling: don’t.
Personal is personal and business is business. Don’t make it harder than it is.
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Fund the LLC with “startup cash” and let the LLC pay for expenses. Submit an expense report for the startup fees and have it reimburse you. Or…
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Loan money to the LLC. Execute a promissory note and have the company make payments - the whole deal. Keep it legal.
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Don’t pay personal bills from the LLC and don’t pay LLC bills personally.
4, If you absolutely have to pay for something or the LLC doesn’t have a credit card, then submit an expense report to the LLC for reimbursement. Have the LLC write you a check and follow #3.
Good luck.
thanks so much for your reply. So does that mean i need to get a bank account in that name ( is that a dumb ?) I am assuming that would be the obvious—but not absolutely sure. thanks again. taylor
yep. you will need your articles of organization, the certificate or letter from the state and a taxpayer ID number.