Rent is income, and you subtract all expenses: mortgage interest, taxes, insurance, maintenance and depreciation.

I am buying a multifamily in Brooklyn and wanted to know how much more home owners insurance costs if I purchase the property under an LLC as opposed to under my own name. 

They had a one page sheet to explain there profit lossEverything they told me at this point has not been verified.They take in $124,320yr.They pay 11821 school tax6500 village tax3000 town county tax5000 insurance 3770 for landlord electric and hot water for the whole building2500 for heat and electric for the rooms for rent 1700 for the cleaning of the shared space and bathrooms for the rented rooms (2 shared baths and hallways for rented rooms)375 snow plows500 general maintenance 320 lawn care4300 for village water and sewer. 

Keep in mind that when you sell, you're going to spend a chunk of that equity in sales commissions, title insurance, termite clearance, and other little repairs that the buyer wants.

Also inform your homeowners insurance company.

I would expect NC closing costs for a median priced property to run less than $2000 for the attorney fee, doc preparation fees, title search, title insurance, prorated property taxes and recording fees. 

When you reflect on this issue, investors can invest with a large number of Real Estate Investment Firms that set up “shell company” Special Purpose Entity [SPE] LLCs, that tell the investor their money is at full risk and they can lose all, and if they invest in that set up and the project fails the investor has absolutely no recourse, no coverage from any other company of the sponsor and has lost all.Doesn’t it make a lot more sense to go with a Realty Sponsor who puts the full faith and credit of their firm and its 13 year history behind the separate project with a corporate guarantee showing they believe in the project, showing that they back the project, and stand ready to guarantee the project with their monies in the event of a bad result?

Nareev,You would be solving a problem for this insurance company by being flexible.

It can take years to rebuild, work through insurance issues and move home. 

Good question- so I called my Insurance Company and they requested all of the HOA docs...Cert of Insurance, By-laws and CCR's copy.