Can Rental Inc. go to 1 Member LLC if house stays in Member Name

[Minni S.]

We have read the blogs but are still confused and seeking some clear guidance.

My cousin has very recently bought a small townhouse as an investment property to rent out. She is struggling on the financial and marital front and is hoping to make a little bit money from the rental income which may be only around pre tax $10k /yr (after mortgage, Ins & Property Tax). She hopes to build from here after reading about the many success stories on Bigger Pockets.

The dilemma is that she has learnt that she could create an LLC and then transfer the title to the LLC, but this option seems to have too many strings attached to it. Seems like it, since the lenders may not like it since the loan is in her name.

On the forum on Bigger Pockets we have learnt about creation of the LLC for the rental income and expenses i.e as a management company. She does not know if the LLC can be created for management if the property stays in her name (she does not have a real estate license).

My cousin is asking for my advice and in spite of hours of research, we are not clear.

Creation of an LLC and renewal in Georgia is quite inexpensive

The main issue is that we are not sure if the LLC can be created for only for rental income and expense (management purposes) if the property stays in her name. She does not have a real estate license.

She has an umbrella insurance policy. So liability is not really the issue under consideration.

Please help. The property may be rented out this week and she is in a quandary.