🏢Moving rental property into an LLC protects your personal assets and avoids creditors going after them.
💼Having an LLC for rental property can improve your ability to borrow money for future investments.
📊Structure your LLC and optimize your tax return to qualify for better mortgage rates.
🔄Refinancing a property owned by an LLC may require it to be 'seasoned' for six months.
🔒Avoid transferring a rental property to an LLC if you plan to refinance within the next six months.
Why should I move my rental property into an LLC?
—Moving your rental property into an LLC provides asset protection by keeping your personal assets separate from your business assets.
How can an LLC improve my borrowing ability?
—Having an LLC for your rental property can improve your ability to borrow money for future investments because it separates your personal assets, making you appear less risky to lenders.
Can an LLC affect my tax return and mortgage rates?
—Yes, by structuring your LLC and optimizing your tax return, you can qualify for better mortgage rates and deduct various business expenses.
When should I avoid moving my property into an LLC?
—If you plan to refinance the property within the next six months, it is advisable to keep it in your own name to avoid complications with lenders.
Do you offer consultations for individuals regarding LLCs and real estate investment?
—Yes, we offer consultations and can provide guidance on LLCs and real estate investment strategies. Contact us to schedule a free strategy session.
00:00Intro: The importance of moving rental property into an LLC for asset protection.
01:09Reason 1: Moving rental property to an LLC protects personal assets from potential lawsuits.
01:58Reason 2: An LLC can improve borrowing ability due to better tax return.
03:41Reason 3: Structuring the LLC and using a Wyoming LLC for tax purposes can enhance borrowing ability.
04:41Reason 4: Refinancing a property owned by an LLC may require it to be 'seasoned' for six months.
