House Hacking, LLC, and access to equity

[James Holmes]

I want to be ensure my assets and me are protected so i am looking heavily, maybe not heavy enough, into LLC, holding company, management S-Corp. From lots of conversations, i get that if i put a property in an LLC, i make it significantly more expensive to gain access to the equity. I also hear that, all i have to do is get the right insurance and I won't have to put the property in an LLC and I make it less expensive and easier to gain access to this equity. Then I hear about a disregarded LLC. Needless to say, there is a lot of advice.

If I intend to house hack for year 1. Then, in year 2 purchase another REI that I intend to house hack. Then, year 3, year 4, year 5 I repeat this process. What is the best way to gain access to any equity I may gain as well as protect myself and assets while maximizing tax benefits? What's the best way to structure this kind of REI plan considering this will be my first REI?

[Greg Scott]

I had 14 SF rentals at one point.  My personal decision was to leave the mortgage and deed in my  (or my wife's) name and have strong liability coverage.  We also added a $2M umbrella. That gives you access to conventional loans.

At one point we formed an LLC but just used it as the manager for the properties.