Is it smart to rent my house from my own LLC long term?

[Jared Solomon]

I had a thought about renting my current home to my LLC long term, is this a silly thing to do? Trying to come up with other avenues for revenue and just had a thought, are the cons going to seriously outweigh the pros here? If this is too vague I can try and go into more detail but just getting a rough idea if its been tried or if it's even worth it for the tax benefits?

[Adam Martin]

I’m not a tax advisor however I would think the money you would pay rent with would be money you already paid tax on.  When you rent it to your llc wouldn’t those same dollars be taxed again.  If you sell now you get the exemption living there 2/5 years for capital gains but I would assume you loose that if you had to sell in a hurry.  You get depreciation and write offs for capital expenditures but don’t forget recapture.  I’m interested in what others say however if it were practical I would think we would all have jumped on this by now.  That said I like the creativity and thinking out of the box.