Starting a company/LLC for passive investment, overkill?

[Tony Lin]

I'm planning to get involved in a few apartment syndications as a passive investor, potentially doing a small apartment myself few years down the road if I learn enough. Is it necessary to form a company or do an LLC if you're just doing passive investment deals? In terms of liability the apartment is held in the syndication's LLC already, but I've heard of ppl who direct their passive income in their own LLC, which are held in a holding company.

Wondering if it helps to build up reputation of the company as well if it is considered to be involved in deals as well. Thanks.