I'm closing on my first property in a few weeks and I plan to house hack. Is it worth creating an LLC? And if so, has anyone used LegalZoom?
I recommend you look into any adverse ramifications regarding putting a personal residence into an LLC.
E.g. potential loss of homestead exemption.
@Justin Carter - Congrats on starting your real estate journey! If your first property is your primary home as well, let us know, @Eamonn McElroy is right that it's not advisable for that to be in an LLC.
BUT! If it's your first true investment property, I'd recommend against starting with an LLC. I wrote a BP blog post a while back and it breaks down why you might not want to start with an LLC.
@Jake Hottenrott @@Eamonn McElroy Thank you guys for your insight! Yes, the property will be my primary residence at least for the 1st year. I'm using FHA financing and so as you know, it's a requirement that I at least live in the property for the 1st year.
As I acquire more properties I'll revisit the idea of creating an LLC. I'm certain I won't stop at 4.
@Justin Carter - Awesome! Best of luck and keep us up to date on your real estate career and ask a lot of questions! There is a lot of knowledge at your disposal here!