[eof]

It means you can have 10mm in guarantees. Your debt to income has to continue to conform as the mortgages stack up.

But, if you can use a lease against the house as proof of income that could offset the mortgage.

That’s basically the secret sauce to “get rich with real estate” content.

Edit: it has no effect on savvy individuals because they can always put each new home inside an llc, continually keeping their count low. This is what you would do after 10 mortgages today, though most people would have put the homes in llcs by 10 anyway for other reasons.

[pc86]

Isn't allowing LLCs to own single-family homes a big part of the problem? I have no problems with an LLC or other Corp owning apartment complexes, and I probably don't really have a problem with there being some sort of government subsidies for that - we need them, so they should probably be incentivized.

There's zero reason for an LLC for own a SFH other than as some sort of tax scheme like you mention. Require that any mortgage on a SFH or owner-occupied multiplex be held by an individual. If you want an LLC to own a SFH/OOM, buy it in cash.

[tanseydavid]

LLC + SFH + AirBNB = "the great search for yield"

[TheNewsIsHere]

There’s an issue in that as well. It’s not uncommon for a family trust to own property in lieu of individual ownership by a natural person. The way trusts are structured can differ between states.

In my state a trust can be an LLC, but it doesn’t have to be. My family trust isn’t, but others are.

[egberts1]

What is OOM?