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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: An easier way... Posted by Buyer on February 28, 2010 at 8:53 PM In Reply to: An easier way... posted by Joanna M on February 28, 2010 at 7:43 PM : HI, Rick: : Thank you for your advice. I did read through Ward's introduction of title holding trust. : Title holding trust will detach property from a person's name. So if someone is sued elsewhere, his/her real estate holding won't be affected. : My concern is : if a landlord is sued by a tenant, he/she has to come out of the title holding trust : to face it. Title holding trust helps you hide, but will not truly protect you after lawsuits happen. : If you put all your rentals(under different title holding trust) into one LLC and jack up your equity value, all that value can be harmed by one lawsuit. : So, in order to limit the damage to that specific property,you still have to separate each one of them. : Any good suggestions? : Thanks in advance! : Joanna From a buyer and holder of real estate. I place larger rentals (10+ units) in different LLCs for each property. I place all the smaller income properties and SFR rentals in 1 LLC. I obtain comprehensive insurance for each property with the highest liability possible and an umbrella policy of 5 million over that, I make needed repairs in a timely manner, I sleep fine at night. : : : Not to contradict your advisor, why not discuss the following tactic: : : Use one LLC to act as trustee and create a separate title holding trust for each property. : : You could even hire a third party with an existing LLC to act as the trustee for probably less that the formation costs and annual franchise tax fee; maybe 200-300/yr. : : What I suggest you do is to learn how to use these techniques to your benefit. Once you know how to create each trust, it's easy, quick and cheap. : : Jach Shea and his Florida partner have a book on this topic. Also, our forum host Ward Hanigan teaches a half day, one-on-one course that will answer all of your detailed questions. Check it out on the side bar to the left under 'hands-on' training. : : Hope this helps. Follow Ups: Re: An easier way... Joanna M 2:32 PM, 03/01/10 (2) Re: An easier way... dond 4:36 AM, 03/02/10 (1) Re: An easier way... Joanna M 12:41 AM, 03/03/10 (0) Post a Followup: Name : E-Mail : Subject : Comments: : : HI, Rick: : : Thank you for your advice. I did read through Ward's introduction of title holding trust. : : Title holding trust will detach property from a person's name. So if someone is sued elsewhere, his/her real estate holding won't be affected. : : My concern is : : if a landlord is sued by a tenant, he/she has to come out of the title holding trust : : to face it. Title holding trust helps you hide, but will not truly protect you after lawsuits happen. : : If you put all your rentals(under different title holding trust) into one LLC and jack up your equity value, all that value can be harmed by one lawsuit. : : So, in order to limit the damage to that specific property,you still have to separate each one of them. : : Any good suggestions? : : Thanks in advance! : : Joanna : From a buyer and holder of real estate. : I place larger rentals (10+ units) in different LLCs for each property. I place all the smaller income properties and SFR rentals in 1 LLC. I obtain comprehensive insurance for each property with the highest liability possible and an umbrella policy of 5 million over that, I make needed repairs in a timely manner, I sleep fine at night. : : : : : Not to contradict your advisor, why not discuss the following tactic: : : : Use one LLC to act as trustee and create a separate title holding trust for each property. : : : You could even hire a third party with an existing LLC to act as the trustee for probably less that the formation costs and annual franchise tax fee; maybe 200-300/yr. : : : What I suggest you do is to learn how to use these techniques to your benefit. Once you know how to create each trust, it's easy, quick and cheap. : : : Jach Shea and his Florida partner have a book on this topic. Also, our forum host Ward Hanigan teaches a half day, one-on-one course that will answer all of your detailed questions. Check it out on the side bar to the left under 'hands-on' training. : : : Hope this helps. [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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