is starting a LLC worth the trouble?

[Rodney Saucier]

my partner and I have some properties we want to look at, but we haven't established a LLC yet. we were wondering if starting one is even necessary. In what ways does it benefit you? why cant/shouldn't we just go out and start buying investment properties for ourselves? we really couldn't find any good info on that subject within our own research. Is there anyone that can tell us whether or not we should create one and why? we would really love the feedback

[Linda Weygant]

Converting from owning property in your own name vs owning them in an LLC is not a tax issue. In this scenario (I'm assuming you're talking about landlording, not flipping), the taxes are exactly the same. The issue for holding in an LLC is purely for legal liability reasons, which I will allow an attorney or lawyer to jump in on since I am not one.

The basics are that if something happens and your insurance doesn't cover it and your tenants decide to sue, they sue the LLC, not you personally. Only the LLCs assets are at risk, not any of your other personal assets.

Some people find this extremely beneficial.  Others just buy extra insurance.