Real Estate Development Finance Application
I'm very interesting in being a real estate developer.
On your page you stated the lender looks at you and your development proposal.
I don't have the best of credit and wanted to know if you could present your business as the borrower (LLC) and do you need business line of credit for the lender to consider it.
I tell all my students that the "absolute" FIRST thing they must do is clean up their credit rating.
This is what I mean by a financier looking at "You" and then the "Development Proposal."
You see you are the representative of the development proposal - it will not happen unless you make it happen.
Having a financially responsible track record is the way a financier assesses you as being a person to lend too.
If they assess you credit past as not being up to the mark, they will not lend to you to carry out a development.
In this situation many people they opt to go to "hard lenders" who will charge you a higher interest and maybe some extra term and conditions.
They only do this because of your credit rating, knowing that you will be rejected by the first line of lenders.
So my strong comment to you is to get you credit position cleaned up first.
Just to be clear on the issue of presenting your development under an LLC banner. It will make no difference. The lender know that you are the person behind the LLC - it is called lifting the "corporate veil" to see what's behind. OK?
Hope this answers your question.