Protection against Tenant Lawsuits

[Dave Atwal]

I have 5 rentals. All paid-off. They total upto $1.5 million of rental assets.

How do I do asset protection against any lawsuits, especially in a tenant-friendly state like California.

Actions Taken:

- I have broken them down to 2 LLCs (3 properties in one LLC, and 2 in another).

- I have Umbrella policy of $2 million.

Ideally, I'd like to have 1 LLC per property but California LLC are one of the most expensive in the country.

Can really use your help and inputs!

Thanks, Dave

[Nathan Gesner]

The best method of protecting yourself? Be honest, document everything, and treat your tenants fairly.

I know many Landlords with decades of experience and they've never been taken to court once. If you are that scared of a lawsuit, it's probably because you don't really know what you are doing, you are crooked, or this just isn't your bag.