Thinking about buying my first investment property through a LLC. We were offered a 15 year ARM 5/5 mortgage at 7.75%. Is this a common loan type and interest rate right now for LLCs? ARM scares me.

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That’s not an ARM. That’s an ARM and a LEG.

likehelpfulfunny

That seems high for an arm…

Seems high for right now

That’s what I thought as well

5/5 is much less common than a 5/1. And that rate seems high.

What kind of property. That is very important. The fact that you’re buying via an LLC doesn’t matter. In fact, there really is no other way to buy investment property.

I completely disagree. But everyone has his own risk profile.

Go conventional. I just got 6.35% on a 30 year fixed. 75% LTV cash out refi. Quick claim into LLC after closing.

Loan will be in your name but will be disregarded in DTI once it is seasoned and debt is being serviced by renter.

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