If a Corporation is buying property is personal credit a hugh factor?

Answer 1

A corporation like an individual buying property must be in a position to prove it can make the monthly payments, have the necessary credit report and have enough reserves in the bank and qualify the same as an individual.

Now if a corporation can qualify on it's own, verify income, has it's own credit report and reserves this is called a non-recourse loan and personal guarantees are not necessary.

If you still want the corporation to purchase the property under it's name, but the corporation does not qualify this is called a recourse loan and personal guarantees will be needed. A person in the corporation will have to personally, put up his/her credit along with his credit report, pay stubs, w-2 etc and sign for and be responsible for the loan.

I hope this has been of some use to you, good luck.

"FIGHT ON"