Two fold… 1. Should I have an LLC for investment properties? 2. If I live in California and I have a 13 unit apartment building that I just purchased, can I have an LLC in California, or does have to be in Texas or both?

Hi Robin, Congrats on the apartment purchase! Regarding your questions... 1. I would say yes. Others might say to look into an umbrella insurance policy instead. Considering both is an option! You can find a few threads on Biggerpockets on this topic. 2. Check out Anderson Business Advisor or Royal Legal Solutions (or others) on youtube. A wealth of free info. LLC'ing in CA can be expensive (and not the best asset protection strategy). I think many would recommend an out-of-state LLC (WY or TX) and use a legal mechanism to register back into CA. I don't recall what that is (we don't hold any property in CA). Though dated, check out As a note, we don't do business with ABA, but do with Royal Legal.

@Robin Gravlin 13 unit property have a LLC - commercial properties should have a company Residential properties can be bought in name Wherever you registered your LLC - if you own real estate in another state you register as a foreign entity.

It's good practice to. Easy record keeping, won't protect you though

Most all hard money lenders only lend to entities

Thank you! I will continue my research and more to learn!!

Do I need an LLC for investment properties?Do I need an LLC for investment properties?

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Do I need an LLC for investment properties?

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