LLC

[Tina Daughtry]

Good morning all,

I am just starting out in REI. I have read a lot on LLCs. My question is should I go ahead and set up my LLC before I have a property? I'll be investing in the state of TX where the set up fee is not very expensive. My thought is that I can establish my LLC while setting up my website and business cards so that all the info legation will correlate. Please tell me if I am on the wrong track. Any and all advice is greatly appreciated! Thanks.

[Janna M.]

If you are a cash buyer and your LLC will purchase your first investment, then yes, set it up and have it ready to go. Your offer and then your purchase contract will be written in the name of your LLC. You may want to consider setting up a series LLC. If you are financing, then lender may require you to purchase in your name.