Proper way to structure business for rental properties

[Brian Dickerson]

Hi all,

I know the *real* answer to this question is ask an accountant.  But I dont have an awesome real estate savvy accountant yet and sometimes the best advice is from people who are experienced in doing it.

We are in the process of finding rental properties.  One deal fell thru already due to a terrible inspection.  We are also considering hiring a virtual assistant for some tasks.  My main question here is about the expenses involved with acquiring the properties and how to handle them.

Expenses we've already incurred: travel/hotel, home inspection, and virtual assistant salary upcoming.

Should I make an LLC and run all of these expenses through it? Does it matter for tax purposes?

Once we have some properties, should they be transferred to the LLC (I'm aware of the due on sale clause etc) and rent checks be made to the LLC?