Purchasing a MFR and putting it into a LLC

[Israel R.]

I am looking into buying my first MFR and wondering if I should eventually change the tittle to a LLC for liability issues. I am not sure if the bank will have a problem with that or if that is something easy to do. What are your recommendations when purchasing a MFR and want to protect yourself from liabilities on the property? I would also like to mention I do have a million dollar umbrella policy that I purchased for three other SFR I have.

What are you thoughts? Thanks you in advanced.

Israel Robles

[Costin I.]

Checkout this diagram I put together intended to simplify understanding asset protection. 

I'm not a lawyer, nor CPA, so take this with due diligence, but I hope it helps.