Quote:
Originally posted by greglepore
Carry big insurance, forget the LLC complications, unless its a large multiple unit building. That's what I advise my clients. Its "against the mainstream" advice, but then again, I'm losing 400 bucks or so pure profit every time I don't set up an LLC.
BTW, if you do go that route, most states allow you to register it online, and you can find a simple management agreement very easily.
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Didn't you mean "gaining $400 of pure profit"?
I tend to agree with not setting up the LLC for up to 4 properties. The LLC makes you an officer of the corporation and you need an attorney to represent you in legal manners such as evictions. You can easily represent yourself in evictions if you own them personally.
Most banks require personal guarantees to properties bought in LLC's so the credit protection is not their either.
Ditto on Insurance. Check into a blanket liability policy if you own several properties.