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If you start a LLC for real estate investing, is it easier to obtain financing for houses to purchase.? |
If you start a LLC for real estate investing, is it easier to obtain financing for houses to purchase.? You can establish a seperate credit history for your LLC. After all, the entity is a seperate person in the eyes of the law. The problem is that a lender will usually require the member of the LLC to sign a personal guarantee, if the LLC doesn't have an extensive operating history and if the lender knows you will be investing in properties. Of course not you have to qualify either way. So if you have lousy credit forming an LLC will not help you! Not at all. The credit history/score of the LLC will be exactly that of the owners of the LLC. |
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