Hi BP Family,
I am new here. I am looking to get started investing in Real Estate- do I need to get a LLC before I start looking for deals? Why?
Any tips and/or advice are welcomed.
Nope, you need deals. Once you have some assets to protect you may want to think about getting an LLC and/or a good liability insurance policy. Don't let the business structure hold you back from getting started.
@Scott Jensen thank you!
Without a LLC, is it possible to get Hard Money Lending?
It's probably easier to get hard money loans without an LLC.
@Vincent Finn When you begin to accumulate properties ( i.e. five or more)It would be advisable to form an LLC and separate yourself personally from the business just to make sure that your personal assets are protected legally. With or without an LLC, It is important to make sure you get good insurance coverage – Example. $1 million of liability coverage, Property damage/loss coverage to rebuild, and rental income loss coverage.
I just set up an LLC in about 10 minutes for $100 fee paid to Virginia. Virginia only requires you fill out a single page web form with name, address, phone, etc., then you pay via CC on the next page and it gives you your Articles of Organization. LLC started!
Next, set up a FEIN, which you can get from the www.irs.gov website in a matter of a few minutes. At this point, you should do some research on the various documents every LLC should have and start knocking them out.
It's a helluva lot easier than most people think. Here's a great starting point:
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