People or the property are in immediate danger of being injured or damaged.

That way, if the vendor fails to perform and someone is injured, you’re better protected.

An example: You own a property, and a tree limb falls on the front walkway and immediately after the tree limb falls a tenant trips and is injured.

If a tenant gets injured or a property experiences damage (like a fire), owning assets personally could expose your other assets such as your home, vehicles, or cash in the bank to potential claims.

Handling this in a neighborly fashion before the tree destroys your rental (or worse, injures or kills your tenant), is cleary the better option here.

New landlord here, just took over property with existing tenants. Few days after closing, visited property with contractor to get estimate to address some of the items that came up on inspection report. One of the uni...

If someone injures themselves and sues, they will be suing the LLC and not you personally.

It is only good against contract disputes.If you have a liability claim, someone is injured etc, an LLC will not be any help.Make sure you have rock solid insurance for STRs and plenty of it.An umbrella is an excellent idea as well.

For example, this is what prevents your personal creditors (e.g. you get into a car accident and injure the other driver) from easily going after the assets inside the LLC.A comprehensive asset protection plan will account for both inside and outside liabilities.

I compare it to taking in an injured animal that no onewants thinking it was a temporary thing but then you can’t just dump them whenyou get tired of the situation.