So when I first started scaling past 3-4 rentals nobody really warned me about this. Every time you open a new LLC or entity for a property you're now paying annual fees, tax prep for that entity, registered agent fees, etc. It adds up fast and honestly ate into my cash flow more than I expected.

What I've found is a lot of times it actually makes more sense to just hold the property in your own name and use an umbrella policy instead. You still get solid protection against downside risk without stacking all those entity costs every year.

Curious what others have run into here. Anyone else get surprised by something like this once they scaled up? What ended up being your workaround?