Pennsylvania Investment property: Trying to cover our bases

[Greg Rose]

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Hello BP community!

I am about to embark on my new property journey.

We live in California and the property we are interested in is in Pennsylvania.

• House is $50k
• Two residential units with each bringing in around $550
• We have $50k in cash and will be buying it outright
• We are creating a Pennsylvania LLC to hold the property
• We are getting a Pennsylvania registered agent (required)
• We will get a landlord/dwelling insurance policy
• We will get a full-service property manager to manage and maintain the property

We tried to think of what else we need. Any thoughts or comments?

Specific questions:

• Has anyone set up an LLC for their property and paid a regular amount monthly to the owners of the LLC? For example, could we pay ourselves a fixed dollar amount from the LLC bank account every month?
• Do we need to form an LLC in California as well as the one in Pennsylvania? From what I have read, we do not. I need to know because we need to open a bank account locally.

Thank you so much for your thoughts and comments.

-GR