Liability issue and optimal tax structure

[Gilles D.]

Hello everyone,

I am an overseas investor and own 3 SFH in America.

Currently, they are owned in my personal name.

I know putting the properties in an LLC, even if it's solely used as a pass through entity, provides me with extra protection.

However it does come with extra expenses as I have to file a corporate tax return for each of the LLC's, even though it's just a passthrough entity.

Is it hard to do the corporate tax return yourself? Since the LLC itself does not have income as a passthrough entity?

Putting each of the properties in an LLC seems like the best option liability wise...

But, if I were to not put the properties in an LLC, I am aware this opens up more risk.

Could this be balanced out by taking out an Umbrella insurance for example? To be more protected, or is this just stupid?

Each of the properties are owned outright without a mortgage and worth about 300K each. 

What is the actual chance that even if something happens with a tenant that the claim exceeds such a large amount? 

Or what the regular (AND umbrella insurance) wouldn't cover?

Follow up: 

I plan to buy 2 more properties quite soon.

Net cash flow will be around 80K after all expenses and taxes paid.

At which point does it make sense to move into a different legal structure, ie. a C-corp?

Would having the properties in a C-corp limit me to whenever I can take out money for non-business/private/personal expenses? Since all the income flows through the business then?

I plan to reinvest at least 50% of my net cash flow but I don't want to have the cash "stuck" in the business.

I hope that made sense, any input is greatly appreciated!

Thank you BP community!