Newbie to Real Estate

[Jacqueline Ward]

Hi all,

I am new to this forum - Jackie. I have watched tons of Bigger Pockets Rookie podcasts, I have 5 books by Bigger Pockets team members. I know there are creative ways to finance I just don't know where to start. I am about 2 years new to our area & have about $20K saved with decent income. Like others I don't want to touch that savings I'd like to bump it up to that 6 month expenses mark. I just have no idea where to start. I would love any & all suggestions. Home hacking is not really an option with a family.

I want to thank all in advance for any advice!

[Bryce Jamison]

Quote from @Ghassan Jabali:

Hello Jacqueline,

I hope you're doing great and welcome to Bigger Pockets. I think it is prudent to save up that money with the $20K and let it grow if you can to save for any potential 6 months of expenses.

One thing I may recommend is to consider a Holding LLC for asset protection and anonymity to sequester your savings into. Should any personal liability be triggered, a plaintiff could go after any and all personal assets, including the funds you have been saving. However, if you put it into a Holding LLC that is filed in a state that has Charging Order Protection as the exclusive remedy, then the funds inside the LLC can be protected from any personal creditors. This can give you peace of mind and start investing inside of a business entity.

Please feel free to reach out if you have any additional questions.

Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice. No attorney-client, fiduciary, or professional relationship is established through this communication.

Did you use AI to write this? I've never heard anyone recommend starting an LLC as step 1 to someone just starting out not knowing where to start. I've also never heard anyone recommend starting an LLC to put their savings in for their first investment.

At some point I do think it makes sense to start putting properties in LLC(s) to protect your personal assets, but it's absolutely not critical especially for the first property or 2.