Warning: my cash out refi nearly fell through because of a forgotten LLC

I was working with a local credit union in Portland on a $85,000 cash out refi for my duplex. At the closing table, the underwriter noticed my rental property was titled under an LLC from 3 years ago, and they almost denied the whole thing on the spot. Turns out, some lenders won't touch LLC-held properties for cash out refis unless you have a specific commercial loan. Has anyone else hit this wall with their business entity on a refi?

2 comments

2 Comments

abby30814d ago

Honestly I used to think having an LLC was just extra paperwork that didn't matter for refis. But hearing how your deal almost tanked over it makes me rethink that. Definitely something I'll double check before I even start the application.

maryh9613d ago

Wait, you mean people actually lose deals over that stuff?