Live in Rental / Set up LLC

[Matt Endicott]

Hi BP!!

This is my first post on BiggerPockets and couldn't be more excited to introduce myself to the BP family!!  I'll get down to the details...

Currently in the process of buying a two story 4 bedroom 2.75 bath single family home to live in myself. Downstairs is a full working living space with 1 bedroom 1 bath with an extra kitchen (washer/dryer units, as well as garage space). Basically a mother-in-law suite. I plan on renting out the downstairs to cut down on my mortgage (around $1,000/month in rent). With that said, within the next year my goal is to begin investing in real estate with single and multi-family rentals. I would like to create my own LLC down the road for my properties. I don't have any knowledge in LLCs and hoping I could get some information (or directed to the info) from you guys. Questions are...

Would it be beneficial for me to start the LLC sooner rather than later, considering I will be collecting rent from the home? If so, what are the benefits? Any restrictions or red flags? Would there be any reason for me to create an LLC right now? Why do investors create an LLC to put their properties in?

Again, I'm looking for some insight from you guys on knowledge and past experiences.

Thanks for everything guys!  Look forward to your input.

Matt Endicott