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Updated about 6 years ago,
Putting a property in an LLC under another LLC - Fix and Flip
I currently have an LLC set up for a website I was working on. I have credit cards and bank accounts tied to this LLC. The website never took off, but I have maintained the LLC. I would like to repurpose the LLC for real estate and I would like to know the best way to structure things. I am about to buy my first fix and flip and I am thinking about putting it into an LLC. Would it make sense to reuse my current LLC, put the property into a separate LLC and put that under the one I already have, or create a whole new LLC just for the property? The LLC I currently have set up does not have any assets to speak of, nor does it have any debt liabilities.
I will be using hard money to purchase the property and they require an LLC to disperse the funds to. I would like to use the credit cards I have for this LLC because the limits are fairly high (not that I'm looking to rack up debt). I have no problem repurposing this LLC and have talked with my attorney to confirm that he can make the switch. Any advice would be greatly appreciated.