There are various ways for buying a real estate investment property. You can buy it under your name. If you want anonymity and protection from liability, you can buy under a real estate trust or a limited liability company (LLC).

Before you pick a property purchasing option, you should consider the type of property you want to buy, the number of tenants you will have, and your future investments.

patent

Purchasing Under Your Name

Buying an investment property under your name will save you the extra costs of hiring an attorney. Liability insurance is also less expensive when you buy it under your name. The insurance you pay for a property under a real estate trust or an LLC could be twice the price you have to pay for a property under your own name. It would also be easier to get a mortgage with a property under your name, because banks will have something to pursue if you fail to keep up with your mortgage payments.

One of the main disadvantages to having your investment property under your name is having your personal assets vulnerable to lawsuit risks. Make sure you have a good insurance policy to protect your personal properties.

Purchasing Under Real Estate Trust

A real estate trust is a great option if the owner wants to remain anonymous. However, with recorded documents, such as tax declarations, going online, anonymity may be difficult with this one.

If there are more than one owner of the investment property, it would also be best to put the property under real estate trust. This will also help owners avoid death trust and also make it easier for them to transfer ownership to their heirs.

One of the major disadvantages to this, however, is the expensive legal fees you have to pay in case of modifications made by the partners, or changes in the estate planning.

Buying Under LLC

LLC is more favourable among investment property buyers, because it gives them ample amount of protection and security.

If the owner of the LLC is subjected to lawsuit, only the properties under the LLC will be at risk.

This also provides a good deal of anonymity to the owner.

LLC will also give the owner an extra layer of protection if ever the owner chooses to use the investment property as a commercial space. The extra layer of protection is needed for a space with more people coming in and out.

To make sure you buy an investment property using the right way appropriate for your needs, it is always best to consult or hire a lawyer.

Related Posts
Affordable dui lawyer
If you have recently been caught due to DUI there is too much on your plate right now to deal with. First and foremost, it is not a good thing ...
READ MORE
How to get affordable personal injury lawyer
Injuries can happen to anyone, anytime and even when you hate to think about it there is the probability that even right now you might be a bearer of the ...
READ MORE
Affordable legal aid for criminal record
The life of the criminal after experiencing imprisonment becomes really tedious. There is the criminal record which continues to hover on their life. So what should be done in such ...
READ MORE
Drunk Driving Defenses
The penalties for Driving Under the Influence (DUI) or Driving While Intoxicated (DWI) can get very serious. However if you have a reasonable defense, you may be able to reduce ...
READ MORE
Law and order
Law and order are the two most important aspects for a nation to grow.There are different types of laws.Federal laws apply to everyone whereas State and Local laws apply to people ...
READ MORE
How to get workers compensation lawyer
For those of you who are in job need to have a clear idea about what you as an employee are liable for. And by this aspect it does not ...
READ MORE
All about affordable lawyer fees
Even when you want to consider the world as a beautiful place to live there happens the bad all the time. There are accidents; property disputes; divorces; abductions; killing and ...
READ MORE
How to file for Bankruptcy ?
If you are one of such victim facing huge debt, and searching information desperately for the processes of "How to file for bankruptcy ? ", you are about to find ...
READ MORE
Affordable DUI attorney
Traffic violations don't seem to be all minor offences since they need major ramifications within the future. Reckless driving causes most of the traffic accidents and to stop that, traffic ...
READ MORE
How to find a good lawyer
Lawyers are everywhere, each has her or his own expertise or specialised area in the fields of law that vary from civil, criminal or appellate litigation. Finding however a good ...
READ MORE
Affordable dui lawyer
How to get affordable personal injury lawyer
Affordable legal aid for criminal record
Drunk Driving Defenses
Law and order
How to get workers compensation lawyer
All about affordable lawyer fees
How to file for Bankruptcy ?
Affordable DUI attorney
How to find a good lawyer