Setting up an LLC for one Rental Property
I’m new to real estate investing, so I have many questions.
I currently only own one rental property in Florida. Only became my rental because I moved to California for work reasons so I decided to keep it.
I'm now looking into buying more real estate, but I first want to make sure I have things setup correctly. Currently the one property, I manage it myself and don't have an LLC setup. Really all I have setup for the property is a separate checking account and have a landlord specific home insurance policy.
The questions are as follows:
1) Should I set up an LLC for just one property? Pros and cons? If so, do I set up that LLC in California (since that's where I live now) or do I have to set it up in Florida since that's where the property is?
2) If I do setup an LLC, is transferring a property from your name to the LLC pretty straight forward? (I’m also still paying a mortgage). Will this trigger any clause on the mortgage lender side for a conventional loan? Ideally I would just transfer the property over and keep paying the mortgage as an individual.
3) Lastly, what are people’s thoughts on umbrella insurance? I see a lot of people mentioning those. I have my regular insurance on the rental property, but should I be concerned with looking into umbrella policies for extra liability protection?
I know this is a rabbit hole, but just looking for some guidance on how to make sure I’m properly setup before I start looking into buying more properties. Thanks in advance!