Seeking California Real Estate CPA For Out Of State Investment

[Evan Derheim]

TLDR; any real estate CPA recommendations? 

Hey BP, 

I live in California and I am buying an investment property in WI. I'd like to talk with a real estate CPA. I'd like to know what tax benefits require an LLC and what do not. I'm deciding between an LLC and an umbrella insurance policy to limit personal liability. Are the tax benefits the same? Thanks, BP.

-Evan

[Michael Plaks]

Originally posted by @Evan Derheim:

TLDR; any real estate CPA recommendations? 

Hey BP, 

I live in California and I am buying an investment property in WI. I'd like to talk with a real estate CPA. I'd like to know what tax benefits require an LLC and what do not. I'm deciding between an LLC and an umbrella insurance policy to limit personal liability. Are the tax benefits the same? Thanks, BP.

-Evan

LLCs do not create any tax benefits for rental properties. 

You will need to balance the legal protection benefits of an LLC (an attorney's question) against the cost, because CA will make you pay $800/yr just for having the LLC.