Hold Property In Personal Name or Corporation?

1 Reply

Hi, I just bought my first rental property, I am looking to acquire more single and or multi family rentals as soon as possible. I am wondering if I should hold these rentals in a corporation/LLC or in my personal name? My main concern is liability/being sued, i've been lead to believe incorporating will reduce my personal liability.

Thanks,

 Ben 

Insurance is and will be your first line of defence regardless of whether it is in a LLC or not. LLCs can and will be pierced by smart lawyers.

Your future investment plans will be easier (financing) and less expensive if you do not use a LLC.

Consensus is that adiquite insurance is sufficient protection but LLC provides additional physiological protection for about 50% of investors.

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