Here is what I have. I need advice on financing. I purchased a second home, and financed it as a second home mortgage. It has been rented for the last two years and I have owned it for the last 4 years. I want to convert the mortgage into a buisness name (LLC), and out of my personal name, so I will have more protection against being sued. My goal is to continue buying more properties, but I am not sure of the financing options, and how to link them together.

OK. With that said here are my figures. These are the figures from the (second home rental property) only and does not include my personal residence.

I owe 35,000 on the house
Payment is 300.00 per month
Current rent collected is 625.00 per month
Appraised value aprox. 100,000
The only other expenses on the property is if something breaks. The renter does the yard work, and pays all utilities.

Since my mortgage is a second home mortgage, there is an alienation clause in the mortgage that will accelerate the loan if they find out that I put the home into another name. (Also, my lawyer tells me that in order to get the greatest protection it needs to fully be out of my name so I am probably looking at a refinance).

I just do not know what my options are. If I refinance as a buisness loan, I am looking at a higher interest rate. Is there a way to take out some sort of second mortgage on the home, pay off the first mortgage, convert the home into a buisness name, and then just pay the payment on the second mortgage. (I hope this make sense, I am just looking for options.) Naturally I do not want to throw away money, but I need to get some sort of protection.

Protection from what???

The way you have expressed yourself leaves a taste of convolusion. So let's keep you honest.

Your question is confusing, but I think you are saying this???.........

Anything and Everything can be sued?
The LLC critter was invented, because of it's ease.
If you are the only one in the LLC what's the point. A cagey attorney will also sued you as an individual. Especially if the Judge is politically inclined and they golf together.
Most lovely attorney's are business based and if you keep your fingers cross, they won't work as hard.

Refinancing doesn't take a loan out of your name? A sale does.
A lender is still going to use your credit and your name.
And I'm pretty sure, having a second home, (aka: "not your personal home")your interest rate shouldn't be the best right now anyway.
Is it a duplex? Or did you put down 50% or more? Or did you *********

If you put your property in someone else's name and the cagey attorney discovers this. He will have the sale null and void. Especially if they track your activities. And 911 has made it easier to track fraud.
LLC's are good for where several individuals are involved basically, where agreements are made.

You can continue buying properties and have it set up where, if someone sues you, then LLC will be totally exonerated. Even a "Trust" can be sued. DISCLAIMER: This only applies to unpolitically connected attorney's. Oh yes and "Dream Team" attorney's.

Connecting the LLC and financing should have been explained to you by your attorney? You use your credit to qualify at first. Then after exhibiting a track record for the business, then some lenders will allow you to use your business credit record. This takes some time though.

Your last paragraph is very confusing If you take out a second loan and pay off the first. What you are doing is refinancing and having only one loan to pay?
Hope this helps. If your attorney can't figure this one out for you, get someone that really specializes in this area. (good luck)

Or go to "NoloPress.com" they have a bevy of self help books.