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Updated almost 2 years ago on . Most recent reply

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Pradeep Velugubantla
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New to BiggerPockets

Posted

Hi there,

I'm new to BiggerPockets and real estate investing.

As I start searching for investment houses, I am considering registering an LLC (I'm not quite sure if that's the right.

Do you know which state would be better to register an LLC?

Thanks in advance!

Pradeep

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Stuart Udis
#3 All Forums Contributor
  • Attorney
  • Philadelphia
2,607
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Stuart Udis
#3 All Forums Contributor
  • Attorney
  • Philadelphia
Replied

It is wise to purchase your real estate in an LLC but no need to over complicate the process. There's a lot of chatter on these forums about pros and cons to forming LLC's in specific states citing greater protection and privacy but it's not entirely accurate and certainly unnecessary. I see you are based in Philadelphia. If you intend on purchasing real estate in Philadelphia or elsewhere in PA, file a certificate of organization in PA. More importantly than merely creating an LLC is the documentation and how you operate your business. That's more critical to the protections than merely filing the certificate of organization.

  • Stuart Udis
  • [email protected]
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