Obtain a LLC or purchase property in my name

Brooklyn, NY · Member since 2015 · 33 posts · 1 vote

BP , I have a question should I get a LLC when purchasing a rental property? Or should I purchase in my name. Does anyone have any knowledge in this area. Your help will be very appreciated thank you in advance.

0 Reply

9 views

1 Reply

Jump to latestLatest

Sort by

David Dachtera
Rental Property Investor · Rockford, IL · Member since 2014 · 4k+ posts · 2k+ votes
11y
Hi, William,
You'll want to have a good tax attorney / tax accountant on your team, hopefully the same person.
The idea of a business entity structure is primarily to facilitate asset protection.
You want to "control everything, own nothing" so as to be as unattractive a lawsuit target as possible.
You want to assure that a lawsuit from one property will not endanger others, or at least not a "large" portfolio of smaller properties.
You want to emplace a layer of protection between your entity structure and yourself personally, as well.
A qualified tax and legal professional can explain it (I'm not!). I can refer you, if you need one.
0 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.