Should I Form An LLC?

2 Replies

I would like to begin buying and holding rental properties. Is it a good practice to form an LLC to buy them under? Is it hard to get financing from an institutional lender as an LLC?

-FRO

@Frank Oppedisano would need more details on your goals, but yes, conventional financing will be difficult to obtain if you want the deed in an LLC name. If you're working alone, you may want to just look into an umbrella liability policy while your business is still small.

That's helpful Zak, thanks. Basically I'm looking to buy multiple multi-family homes for long term rental income. I assumed I should start an LLC. What are the benefits of an LLC V an umbrella liability policy?

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