So, you have a rental property, Congratulations! Now what? You start receiving rental income and building wealth. However, what happens if your tenant gets hurt and now wants to come after you and all your assets?
By means of transferring your property to an LLC, you as a property owner can protect your assets in case of legal action. It’s said to be an excellent option du to its tax accounting and easy maintenance when transferring to an LLC. Be sure to consult your tax advisor for more accurate information.
Once you have turned your property into an LLC, the tax bills will no longer be in your name but in the LLC. With an LLC you should open a separate bank account which allows you to have an entity and liability protection on the rental property. In the case of a lawsuit, your personal assets will be protected.
Contact Premier One Consulting @www.premier1consulting.com to help you get started with this process.