Start a LLC for each property

[Scott Nguyen]

I received advice about starting an LLC for every property I buy. I understand it's to protect me from liability and such, but is worth going through the process for each property?

Would it be a better idea to start an LLC for multiple properties? Or have an LLC that holds all of these "LLC-properties" underneath it? Any advice would be great, thank you!

[Thomas S.]

Abput 50% of real esttae investors have a LLC which means 50% do not. You do not need a LLC as long as you have adiquite insurance provided you do not have employees. The added protect of a LLC is minimal while th edifficult of doing business with a LLC is increased and more costly.

Just food for thought.

Lawyers will recommend a LLC, for obvious personal reasons, where as accountants often will not based on tax advantages.