Just assuming that I want to utilize mortgages, just like any other individual to purchase a property,
Can an LLC obtain mortgages?
or
Does LLC need to obtain other types of loans?
let’s say that the LLC is owned and operated…to start, by me and myself alone.
I have excellent credit. and i’ve owned, operated and sold a biz in the past.
LLC - “regular” mortgages? or not?
Thanks,
TMcG
anything you can do, your llc can do better. you just have to find a lender that will finance to an LLC. you’ll probably have to put up a personal guarantee along with it.
alternatively, you can finance it personally, place it in a trust and have the LLC be the beneficiary. safer, and it gets around the DOSC.
what is DOSC?
“DUE ON SALE CLAUSE”
how does putting property in a trust, naming LLC the beneficiary, get around DOSC?
Banks will usually allow you to transfer a property into a trust without complaint. Once there, only the grantor(you) and the trustee know who the beneficiary is. You don’t own it any longer, the trust does, in trust for the LLC. Then the LLC gets all the benefits of ownership including interest and tax deductions.
Am I getting this right, Wiz?