Wholesaling Real Estate: Do you need an LLC?

[Rick Gonzalez]

Hello Everyone,

My question is...

Do you need an LLC to Wholesale Real Estate? The reason i ask is because wholesaling real estate isn't necessarily flipping houses to my understanding. I'm a "newbie" as they say, and i'm learning as i go i could really use some advise.

-Thanks

[Tyrus Shivers]

@Rick Gonzalez

As always you should consult an attorney or CPA when deciding on issues such as this. A LLC is basically a tool for asset protection. Not 100% protection, but better than none. Since you are focusing on wholesaling you will not be "holding assets" therefore a LLC is not necessary to have at this point. Wholesaling is seen as low risk compared to rehabbing or holding rentals which then you should have some sort of entity. If you wanted to create a brand and market yourself as a company then you could create an entity as well. It is really up to you, but no you do not need a LLC to wholesale.