When to set up entities

[Michael Hill]

Good evening BP community. If one were looking at house hacking a multi family property, at what point should you set up the entities (LLC and a trust) ?

The plan is to sell primary residence in order to have the equity in cash and utilize that cash to fund the multi family purchase and have operating capital. We would like to utilize a trust and LLC for this (would be a 5% down FNMA loan) if that matters.

We just had the CMA sent to us and we have the ball rolling with a lender for pre-approval - we have not begun shopping for a property yet.

Thanks.