LLCs - One or Multiple?

[Jordan Alexander]

Good morning,

I'm looking to get advice on LLCs. Is it better to have all rental properties in one LLC or have an LLC for each property? I understand having multiple LLCs can be challenging but I think it would be helpful to have a business checking account for each LLC, so that way it makes it easier to have income and expenses of one property going in and out of its own account. Thoughts?

[Olia Fogel]

Hi Jordan,

For someone looking to invest in multiple rental properties I recommend looking into a Series LLC as a holding company, primarily because it has unlimited scalability. Creating new series is fairly simple and does not require any additional filings or fees with the state, as opposed to needing to set up a new LLC for each property.

Additionally, you can set up a Property Management LLC, which is usually a standalone LLC for all property management activities, such as collecting income, signing contracts etc.