Hello Bigger Pockets family,
My brother and I have acquired a single family house following my fathers passing. We intend to do a turn and rent the house. We both are covering the mortgage. The question is how do we both benefit from the our personal expenses as well as for the updates and refinancing?
My brother is married while I am single. Should we form an LLC and what are the pro's and cons? Or, should we co-own, or should one of us own and workout tax options to benefit us both. I currently have a buy and hold townhouse that is renting under my name and not a business.
Hi @Garfield Reid I can tell you that I own an apartment building with my father in law and it is in both our personal names and everything is split 50/50. I would consult with your accountants, but I imagine expenses for updates, income, etc will all be split 50/50. You likely want to consult with an attorney too if you do not have estate planning done so that should something happen to either of you, you know where your respective portion of ownership will go. As grim as it sounds, these are the things to think about when you are doing business with someone. You are now officially business partners on this project :)