I am looking to purchase a property in the upstate NY area and live in it while I build up equity. I am also in the process of starting an LLC for investment properties. I will have a mortgage on this property, and once I start paying it down I plan on getting a home equity as well. Would I be able to use this home equity to purchase another property under my LLC's name? And once I move out of that first property, can I transfer it to my LLC (so that I can rent it out without liability), even though it has a mortgage and home equity on it?
Before I purchase the property, what should I know? I should get a mortgage without an acceleration clause, right? I am under the impression that without an acceleration clause, I can easily transfer the property to my LLC without having to pay the entire mortgage balance upon transfer. Does this acceleration clause really matter - will the bank make me pay upon transfer if it is not there? What about a home equity mortgage lien?