Should I Set up an LLC?

[Nick Portillo]

Hi BP community, As I am planning to buy my first property, I am wondering if I should set up an LLC? Note: I plan to live in my first property, but will expand thereafter.

[Kenneth Garrett]

If your looking for asset protection then an LLC is the way to go. When you start developing a rental portfolio you want to separate yourself from your business. If there is a lawsuit and you are putting properties in your own name, then it is possible that your other properties could be exposed to the suit, and worse your personal home. You need to protect yourself. Yes, there is a cost to doing business but why not start the right way. Be safe not sorry. I'm in Illinois the second highest cost of obtaining an LLC next to California. Its well worth the money.