investment

LLCs and Special Uses: Forming an LLC to Buy Real Estate

LLCs and Special Uses: Forming an LLC to Buy Real Estate

It is common knowledge that it is wise to hold real estate in the name of a business. Why? It shields the owners from personal liability.

Most real estate investors form an LLC to purchase real estate and because LLCs are so prevalent, most lenders are comfortable lending to LLCs. However, there are still risks associated with using LLCs to purchase real estate.