Transfering Property Into An LLC
Is it possible to utilize my friends fantastic credit to purchase a property and then transfer that property into my LLC while maintaining the favorable loan my friend was able to secure due to his outstanding credit. At the same time, my friend being able to get out from underneath the loan?? The end result being, my LLC now has ownership and control of the property while my friend is removed from liability as well as any negitive credit ramifications he may have encountered if he were still the actual owner of the property (i.e. debt to ratio issues).
Unless your friend is a total idiot he will say no. Why should he have a debt on a property that will no longer be his. Basically with what you are taking about you get the property already in your name and he has responsibility for the mortgage. If you are going to attempt that at least transfer it into a LLC owned by both.
Doing the transfer to a LLC might also trigger a mortgage due call
You do not seem to understand that even if you title the property to Santa Claus, your friend is still personally resonsible for the mortgage and it will show up on his credit. I deal with people in foreclosure all the time that had a friend or relative sign the mortgage and then when they fall behind on the payments the relative or friend gets the bad credit and foreclosure on their credit report.
If this is truly a friend - pass on this idea.