To LLC or not to LLC

[Izabella W.]

I've been operating with 3 LT rentals for a few years now (both me and my business partner are listed on the deeds) and it's been ok except for a few issues like being able to get loans and such (we're both responsible for all liabilities), taxes are a bit of a hassle, etc. I am considering transferring the properties to a LLC so we have more control over our personal income (take distributions as we need, etc), have more borrowing potential under our own names (liabilities would disappear from our personal taxes), and have more protection. I'm just not sure it's worth it, it sounds like a hassle (transferring properties, getting everything set up again, etc). I'm not even sure where to start, where to setup the LLC, how to transfer the properties (do I need to sell them to the LLC?), etc. What are the ramifications of this, what if one day I want to live in one of those properties, how easy would it be to transfer it back to individual ownership? What else should I consider and do you think this would be a good idea? Thanks for your input!