Investing in Chicago, IL, LLC Advice Needed

[Raymond Yeung]

Hello BP Family,

A few partners and I are planning on buying several cash-flowing units in Chicago (we are going to start with 4 together), but we currently reside in California and New York. Under our cursory research, we've determined that different states come with greatly varying degrees of cost, as well as provide differing levels of asset protection. Does anyone have advice on how to form an LLC (we've currently ruled out the idea of an S-Corp run LLC as we are more passive than active investors at this time) if we want to invest in Chicago? Should we hold the LLC in Chicago or pay expensive out-of-state states to hold the LLC elsewhere with greater levels of protection? Referrals to an expert tax advisor who may be helpful will be greatly appreciated as well. Thanks in advance!