The plan is to form an LLC, and as we are doing business in both states it seems like an incorporation can happen in either. 

I've owned properties personally and in corporate structures and never lost a case anyway.

Although they will get you incorporated, they probably won't protect you when that first law suit happens.

I've been using these guys for nearly 15 years: http://val-u-corp.com/ They will charge you $80 in fees above the state mandatory fees to incorporate, but since that includes the first year of registered agent service, you're basically getting the company incorporated for free (ie just the state fees).On another note, you will need to register your company in your home state if you're doing business there, and if your home state charges taxes, they will want to tax you on the income that the business generates in your home state, even if Nevada doesn't have income taxes.Jean

.- You'll need a letter of explanation (LOE) to explain to the underwriter (UW) that you incorporated your business recently (they dont understand why investors do this - go figure) and that it was recommended by your tax accountant.

For an explanation of the limitations of Trusts and Corporations in your state, you should speak with a Business Attorney in any of the states you wish to operate, as it is possible that you may not be able to register as a foreign entity in those states that do not recognize the incorporation style.For example; such a structure would likely be fine in Virginia.

It would probably be worth your time to talk to an accountant that works with real estate investors at some point, but in terms of getting started it's not really very complicated.I'm probably not the best person to advise you as to just when it makes sense for you to start incorporating different entities into your business.

This is one reason we incorporate a bit of a buffer, and we always encourage clients to keep a cash reserve in place for unexpected emergencies.

A lot of people also like incorporating in Wyoming for this reason, because Wyoming doesn’t track who owns the company, just the directors.

I am more of an "arm-chair" type of investor so I think turnkey model would work best for me.